Goverment politics destroy Global economy

Global economic Meltdown

We are entering a global economic meltdown started by the American governments desire to spend more than they earn year after year. The government politics being played out in America are destroying the foundations of there great country.

This year will see the Asian governments stop buying U.S government bonds, which will create a currency crisis in the dollar.

The U.S housing market will have a down turn causing wide spread repossessions as interest rates rise to support the dollar.

All of these problems have been caused by the U.S government's political decision to have an economy based on easy money, and ignoring the real issues affecting there economy.

The American government decided to mount 2 wars that are very expensive and had to be financed so they took the easy way to pay by printing money and lots of it, and when that was spent they would print some more. Then to hide the facts they stop disclosing the monthly money supply figures so nobody had any way of calculating how much extra cash they printed last month. Its a neat trick but it is devaluing the value of the dollar every month.

Every time the U.S Navy, is sent off on a mission there ships are powered by I.O.U’s from the main Asian governments and banks. In fact Americans war effort is funded mainly by China and Japan which are overflowing by American debts. This makes the U.S very weak and open to pressure from its bankers.

The European Union is also in a mess but not as bad as the U.S. There problems have also been caused by printing money to pay the bills. They have increased there money supply by an average of 8% this year.

The United Kingdom will suffer the biggest housing slump in Europe in the very near future, probably late this year. When this massive property bubble bursts it will affect all aspects of the U.K’s finances causing great hardship to the ordinary people. The average house in the U.K is now over 6 times the average wage, this cannot be supported for very long.

I believe the coming economic Global meltdown will cause the price of gold to rise to over $1000 per oz. this is the standard safety net that the rich will run to when the collapse occurs.

Why the U.S government believes it can continue to print money without being able to pay it back is completely mad.
To add to the problems they are losing ground in the there leadership in technology.
For many years the U.S has dominated the world in inventing new products, creating advanced manufacturing systems and applying for international patents. All of this supremacy is now being challenged by the up and coming third world countries, that are not heavily in debt. This view is reinforced by the recent world economic forum stating that the U.S has slipped down the global league table for world primary engine technology. This is a very important indicator that the American economy no longer has leadership in new cutting edge technology which has been used in the passed to drive there economy forward and stay ahead of there competitors

We have seen many industries such as aerospace where for decades the U.S has lead market with Boeing producing the largest slice of all the civil aircraft orders, but are now very much under attack from the European aerospace company.
The next crazy thing that happened, to cause this global meltdown was the transference of technology from the west to the east. This transfer of power was not done by governments it was carried out by big multinational companies. The Chinese quickly learnt all they could from there new friends and after 15 years are now moving into a position to challenge the west. More and more patents are being applied for from china and India, we have helped them industrialise and will now suffer the costs of doing so.
Every ordinarily citizen should be concerned because in the west we have become very lazy and have expected a continuing improvement in living standards. In the third world the workers powering there economies are used to working long hours in bad conditions for low pay, so they are ideally suited for western companies to exploit to generate higher profits.