St Louis Loan: Can America Be Pulled From Underwater Financial Grave
The old financial rhetoric is no longer being accepted as consumers are growing tired of this dismal economy.
The larger population of concerned voters no longer care if the out-of-control rise in debt is the fault of Democrats or the Republicans.
The idea that this government can spend what it wants while hoping to collect what it hopes tomorrow is worrying financial experts.
Many were surprised to hear Bill Gross, a founder of the investment giant Pimco, comparing this economy fiasco with that of a Ponzi type scheme.
But when someone’s concerns move them to take action by selling their U.S. government bonds and then go and buy foreign bonds from Germany, France and Canada, others begin paying closer attention to how much higher the national debt will eventually go.
“In order to pay the interest and the bill when it comes due, we’ll simply have to issue more IOUs. That, to me, is Ponzi-like,” Gross has said. “It’s a game that can never be finished.”
The national debt which now totals 9,377,204,236,563.68 as of January 13, 2011, is growing at such an alarming rate that it is the number one concern for politicians and the majority of Americans.
However, the true accumulative debt actually comes to $14,007,216,975,377.59 when you add $4,630,012,738,813.91 in Intragovernmental Holdings to the public debt of nine plus trillion dollars.
What type of catalyst will it take to start moving this country forward with a more positive financial outlook? Many say it will take a high-level of bipartisan cooperation and talks to find such a solution.
Because at this point, there is no immediate solution according to St Louis home loan professionals that would prevent the national debt from ballooning to an unimaginable $20 trillion dollars in the next few years to come.
And of course this assumes that there are no new recession scenarios, no new wars or financial crises on the horizon.
And it is quite apparent how nervous the rest of the world is by their lending money at higher interest rates when bankrolling America’s tremendous debt as most experts would agree.
When these rates go up and they will, the United States will have to borrow more and more simply to pay the interest on its debt.
Of course, there are a few economists and financial analysts who strongly feel that this underwater finance problem can be fixed. I suppose this is where comparing the government’s actions to a Ponzi scheme would be somewhat incorrect.
The idea behind a Ponzi scheme is to borrow more money to pay off past investors or debts hoping to collect more money tomorrow. But it collapses when revenue ceases to come in devastating everyone involved.
The government, on the other hand, could possibly restore some fiscal sanity if and when these politicians choose to do so.
Many felt Bill Gross acted prematurely at first but the his concern is now shared by millions of consumers who are watching this nation’s financial strength slowly disappear. Perhaps Washington may have a change of venue and find a solution to cutting this massive deficit.
To learn more about a St Louis mortgage, stop by Floyd J. Tapia’s site at www.LibertyLendingConsultants.com/St-Louis-Commercial-Loans where you can find real tips about securing a St Louis loan or principal reduction for your home or business. We also invite you to call Floyd at 314-334-0210.
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