As promised, every Monday I will continue to update on the results of the survey I put out asking the question: will America recover or go bankrupt. Obviously since my last Monday’s post, we have had an election and, as a result, hopes are high. However, if you read my post from last Tuesday, then you know that regardless of how this election may have turned out, the inevitable is going to happen sooner or later. Soon I will be sharing the results of said survey so stay tuned…on with this weeks post.
Most of our national debt was owed to ourselves back in 1952. Individual AMERICAN investors and AMERICAN financial institutions is what I mean by “ourselves”. At the end of 2009 almost 50% of our nation’s debt was owned by foreign governments and financial institutions. Lets break down who and how much is owed…
China (Hello! Communist China!!!) 798.9
Japan (Whom we defeated in WWII) 746.5
United Kingdom 230.7
Oil Exporting Countries 188.4
Caribbean Banking Centers 169.3
Hong Kong 142.0
Russia 122.5 (Russia did not own any of our debt as of 2007. They are now the eighth largest holder) (Major Foreign Holders of Treasury Securities Holdings-December 2009, http://www.treas.gov/tic/mfh.txt).
The Congressional Budget Office says the government expects to incur $9 Trillion more debt by the end of the decade. More than half of that ($4.8 Trillion) will be paid in interest alone (Jeanne Sahadi, $4.8 Trillion-Interest on U.S. debt http://money.cnn.com/2009/11/19/news/economy/debt_interest/index.htm).
Financial professionals say that interest on the national debt accrues at the rate of $41 million an hour. That’s $690,000 a minute, and $11,500 per second! Remember, that is just interest! That $4.8 Trillion will not touch the principal, only interest (Doug Andrew, The U.S. Economy is a Sinking Ship…http://missedfortune.com/2009/05/economy-sinking-ship-david-walker/).
Click Here to see our National Debt tick away!
Is the seriousness of the economic situation we are in becoming clearer? Be sure to stay tuned, so to speak, each Monday, as we explore ever deeper into the state of our nation and what we, as believers should be doing to prepare for the days ahead.
What does God have for you…just around the corner?