Time To Stop Financing The Drunk-Sailor Spending Bush Administration
By Sanjay Sharma, Section USB - United States Of Bush
Posted on Thu Feb 24, 2005 at 10:20:43 AM EST
Global markets are realizing that we have two major vulnerabilities that this Bush administration doesn't want to address:
- We are importing too much oil, so the dollar's strength is being sapped as oil prices continue to rise.
- And we are importing too much capital, because we are saving too little and spending too much, as both a society and a government.
"When people ask what we are doing about these twin vulnerabilities, they have a hard time coming up with an answer," noted Robert Hormats, the vice chairman of Goldman Sachs International.
- "There is no energy policy and no real effort to reduce our voracious demand of foreign capital.
- The U.S. pulled in 80 percent of total world savings last year [largely to finance our consumption]." That's a big reason why some "43 percent of all U.S. Treasury bills, notes and bonds are now held by foreigners," Mr. Hormats said.
