When we asked the other day who was going to buy the net new $10 trillion in Treasury securities to fund the Obama deficits, we didn’t realize that the matter was even more serious than we suggested, given the Fed’s need to issue $1 trillion in new debt itself.
The strangest aspect of this situation is that our out-of-control Congress and President may ultimately be reined in by, of all things, the refusal of communist China to buy US debt.
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