Wednesday, July 27, 2011

Debt Ceiling Craziness

I am really surprised on the craziness surrounding this so called "debt ceiling". First of all, why everyone is so crazy on this Ceiling number itself. Does it matter if you have 10 or 11 or 12 or 13 or whatever number of you put before letter "T"..  As long as it is in "T" in trillions I don't care anyhow. This is crazy to have a so called super-powered economy based on debt and then on top of that we have some kind of artificial ceiling as well.

I know, to most of these so called economists I may seem to be moron, which I am behaving any how right now. But basically, all my principle fails to explain this absolute number on ceiling. Does any bank or financial institution gives you some arbitrary number like this. All the numbers are based on some defined numbers like your net worth, pay-back capacity, credit score etc etc. Why can't we also have this number based on certain factors like percentage of GDP, tax revenue, reserves/assets or pay-back chances, if any. All my economical sense fails to explain this arbitrary number before "T".

Then comes this foolishness around "Debt" itself. I think it was designed to trap and link all other economies with US economy.. So right now all these "T" worth of debt is acting as credit in rest of the world's economies. This I guess is to ensure that they can never let US economy sink.. It will be rest of the world's responsibility to save US if needed. Otherwise, all these "T" numbers which appear as credit in their account be junk in a moment. Jokes apart, I am unable to explain this debt numbers.. We as a nation to understand one simple fact.. there is no free lunch.. no pain no gain.. This countries forefathers had done terrific job of building infrastructure and economy of this country.. if they would have also decided to off-shore all the jobs and manufacturing to rest of the world at that time we would have never seen this great nation.. We need to understand and work with very clear goal of coming back to our roots and do what we have been doing for such a long time.. Hard work and continue progress on Science and Technology.. Without these things very soon we will be talking about increasing this debt ceiling in "G"s instead of current "T"s.. that to if we can continue to keep trap around rest of the economies, like we have right now..

Guys.. Come back to what one of my great college senior used to say "Wastwikta Ka Dharatal" or simply put.. back to basics or foundation..

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