If your finanial advisor tells you to buy US Bonds [read: debt; IOU; ie. promises to pay you back someday] do not walk away....RUN!
If the USA were a corporate entity with a negative cash-flow and negative equity THIS large, no sane investor would put more money into the proposition.
- Think of the GM debacle, but on steroids!
Sovereign default...whether de facto or de jure is already accomplished. Paying back debt with the equivalent of Zimbabwe Dollars, Weimar Marks, or Argentinian Pesos means debt-holders are going to get the proverbial "haircut" [for Democrats (C) read: not paid back, like the former bond-holders of GM].
Tuesday, 3 May 2011
Buy US Bonds?...............from Rico
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