With our dysfunctional congress grabbing the headlines today the rest of the world is still in a cautions state of bewilderment as to why our elected officials can't grasp the rational of compromise and reach accord that will keep America somewhat solvent. With just days to go until judgement day on whether the debt ceiling will be raised or not it is interesting to note that during Ronald Reagan's Presidency the debt ceiling was raised several times. In fact during his Administration the nations' largest expenditures was for defense and ballooned the nation's overall debt. And yet, there were a few rumblings in congress but nothing like what this present congress is actually doing. A Republican led congress that has opposed practically every item and policy that the Obama administration has put on the table ever since he first got elected. Now, with all this contention and animosity prevailing in Washington has other countries just kinda wondering if the United States has really lost their effectiveness.
Countries like China our biggest holder of American debt has been concerned that the United states will fail to reach and enact measures that would raise the debt ceiling. It is quite understandable that China is very frustrated in the dysfunction that is currently controlling the misguided and often misconstrued Republicans that have effectively managed to stop what ever measures that would felicitate compromise and end the shutdown that is only hurting the American public.
With $1.28 trillion in U.S. Treasuries, China is easily the biggest foreign holder of American debt. China has also funneled billions of dollars into private American investments to the tune of an estimated $54 billion in 2012 alone. As U.S. politicians of both political parties are still shuffling back and forth between the White House and the Capitol Hill without striking a viable deal to bring normality to the body politic they brag about, it is perhaps a good time for the befuddled world to start considering building a de-Americanized world. This is what the leaders of China are saying today. Again, quite understandable due to the fact that dysfunction is the actual tone of congress today.
Other countries have joined the chores in pointing out that when the destines of others, meaning other countries as well as their own citizens, are in the hands of a hypocritical government like what the United States has today have to be terminated. To reestablish in it's place according to which all nations rich or poor can have their key interests respected, protected, and where every nation is on equal footing.
In the eventuality that Congress still can't grasp the ramifications of not raising the debt ceiling, if it is not raised the devastation in China would be catastrophic. The world economies would be thrust into a tailspin of calamity including the United States. And for what, just so the Tea Party Republicans can tout that they are stopping the Affordable Health Care, that by the way was passed by this very same congress and upheld by the Supreme court. It strikes the human conscious that something more sinister is afoot in those hallowed halls in Washington.
In China where too many in the ruling Communist Party still cant quite fathom why neither the Democrats or Republicans in Washington would allow the US to not honor its financial obligations. But, there again the rational of certain Tea Party members of congress would rather openly ignore the warning signs of financial devastation by letting the nations financial obligations fall by the way side just to prove a point. The clock is ticking. Maybe just in the nick of time financial disaster will be avoided but damage and loss of credibility in Washington has already put doubts in the worlds economy that America will continue to honor its debts.