Yesterday Ed Morrissey at Hot Air posted a story about one of the consequences of the out of control spending our government is currently engaged in. When you borrow money from someone, you sometimes find yourselves in conflict-of-interest situations because of your debt. We are about to see this principle in action in Taiwan. The Chinese government was unhappy about our recent sale of arms to Taiwan. The Chinese military has suggested that China launch an attack on the American dollar (haven't we attacked it enough?). Officers at China's National Defence University and Academy of Military Sciences want a broad response to our sale of weapons to Taiwan-- increased defense spending, adjustment of PLA deployments, and possible sale of some U. S. bonds.
Mr. Morrissey points out:
"If a significant creditor sees a political advantage by devaluing our bonds and forcing us to increase interest rates to sell bonds, that nation will do considerable damage to the American dollar and our financial standing. It could get to the point where we have no one left to buy our bonds, while we still must meet interest payments on outstanding paper. And make no mistake: China is in position to do that, if they choose to suffer the short-term consequences of making their paper worthless."
We have been at the mercy of countries who hate us for years because of our refusal to develop our own domestic energy resources; now we are going to be at the mercy of more countries that hate us because of our increasing debt. The answer is to control our spending and develop energy independence. America was founded on the idea of individual responsibility, the work ethic, and a pioneer spirit; we need to remember that. The people in Washington work for us--we do not work for them. We need to remember that in November.
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