Recently, after the Standard & Poor's downgrade on US debt, there have been a significant number of articles, videos, and radio talk surrounding this issue.
A lot of people have quite a bit to say, and the Internet allows free speech, and folks are busy calling in to radio talk shows.
Much of what I'm hearing is conspiratorial in nature, and obviously coming from conspiracy theorists who need more omega-3 in their diet.
Nevertheless, perhaps we should talk about some of these, and ask ourselves if any of these conspiracy theories hold water? There was an interesting article recently in Reuters which suggests a potential conspiracy theory in the Standard and Poor's Downgrade, so why not read this article and let me explain.
The article was posted on August 8, 2011 titled; "China media say U.
S.
debt woes show military overreach," which had an interesting message from China which stated; "The US must rethink its huge military outlays, big footprint abroad and summon the courage to defuse debt woes," and this quote was run on Chinese state-run media perhaps, letting us into the minds of the Chinese Leadership.
You see, they believe since they hold so much of our debt, that this is leverage they can use to force us to serve their regional political will in the Straits of Taiwan, the South China Sea, and the Sea of Japan.
And, yes, anywhere along the "String of Pearls" too I suppose.
The Chinese also stated; "the economic troubles facing the United States and European Union grew out of the political dysfunctions of the Western democracies and their unsustainable appetite for spending," and "Since the collapse of the Soviet Union, the United States, as the world's sole superpower, has relied on its powerful military to meddle everywhere in international affairs, advancing hegemonism, and paying no heed to whether the economy can support this.
" Well now, okay, so we have a little blame-game going on, and I thought that was mostly limited to the Obama Administration, well apparently not.
So, let me tell you what I see here? Believe it or not, the Downgrade to US debt hit the Shanghai index, and all the stock markets in Asia much worse than it hit the United States.
Yes, we did get hit for a few days, and we had our stock markets decline by between 10 and 11% on average.
But many of the other markets in Asia got slaughtered, and a lot of that money took a flight to safety, and came back to the United States.
Guess what these Asian investors bought? US treasuries, isn't that ironic? Still, back to the conspiracy theory above, the United States of America isn't about to cut its military in half, stop assisting in defending our allies, or allow China to get the upper hand, as it appears they'd love to see happen.
So that's a lot of wishful thinking.
Meanwhile, maybe someone should warn China not to make threats or accusations of the United States, and worry about their own debt crisis, municipal vehicle bad real estate loans, inflation, unbalanced currency, civil unrest, media censorship, and human rights issues.
Just to name a few of course.
Indeed I hope you will please consider all this and think on it.