What Would Happen if China Suddenly Became an Enemy of Our State?
China holds approximately 8-10% of our debt, roughly equating to $2 trillion. If we found ourselves in conflict with China, some might think we could simply refuse to repay that debt. While this might seem manageable, the real issue lies elsewhere.
China is a global manufacturing powerhouse, producing everything from consumer goods to military hardware. Our reliance on their manufacturing capabilities places us in a precarious position. If tensions with China escalated, it would likely strain our relationships with other East Asian manufacturing hubs as well.
Our debt to China, while substantial, is not the most pressing concern. The real problem is our dependence on Chinese manufacturing. We have outsourced so much of our production capabilities that rebuilding our manufacturing infrastructure domestically would be an immense challenge. This dependence leaves us vulnerable and less resilient in the face of potential conflicts.
If a war with China escalated to a global scale, our current infrastructure would be woefully inadequate. The effort required to reestablish domestic manufacturing would be staggering and could severely impact our economy. The reality is that much of our national GDP is tied up in debt management, with individual, corporate, and national debts collectively amounting to an enormous sum.
On top of the national debt of $35,000,000,000,000, personal and corporate debts add to the financial burden. This creates a fragile economic situation where the country is essentially operating on borrowed money. The wealthiest individuals might flee with their assets, leaving the country in an even more dire state.
In the past, before modern inflation, individuals could work various jobs and afford their expenses. Today, cities are built on loans, with homes and infrastructure financed through borrowed money. Most people do not own their homes outright but manage to make payments on them. This situation underscores the broader issue: the U.S. economy has shifted from production to debt accumulation.
The national debt continues to grow because actual money circulation is minimal. The economy runs on debt exchanges, and the government struggles to balance this system. Most people do not fully understand this because they focus on their immediate financial challenges, which is entirely reasonable. However, the government faces a much larger, systemic problem.
There is only one viable solution: reducing our dependence on China. Americans need to produce goods domestically, even if these products are not competitive in foreign markets. If other countries do not want to pay for American-made goods, they can opt for cheaper alternatives made in China.
Inflation and outsourcing are interconnected. The more money we send abroad for globalization, the less valuable our dollars become because the country needs to sustain itself somehow. Outsourcing leads to money printing, further devaluing our currency.
Rebuilding our economy on domestic production is essential. Global capitalism, as currently practiced, has led to an unsustainable debt cycle. We cannot continue to send money out and expect it to return. While short-term profits might increase, this approach erodes the country’s economic foundation.
Foreign investors have increasingly bought up American companies, exacerbating the problem. These companies outsource production, ship products back to the U.S., and send profits abroad. This creates a cash siphon effect, leaving the country’s debts unpaid.
The root cause of our national debt is the outflow of money to foreign entities. Reversing this trend will take generations. The American dream remains elusive unless we prioritize our nation’s economic health. Individual freedom and prosperity are vital, but they must be balanced to avoid self-destruction.
A prime example of this issue is the cellular phone industry. The entire infrastructure, including the phones, is made abroad, with minimal domestic involvement. The major carriers in the U.S. offer similar prices and plans, highlighting the lack of competition. This situation is indicative of a broader problem: the more we sell and outsource, the higher the inflation and debt.
To address this, we need to reclaim our industry. Only by producing goods domestically can we begin to fix the underlying issues. Outsourcing labor and profits to foreign companies harms our economy and weakens our nation.
If we do not act, we risk losing our economic sovereignty. Bringing money back into our economy is the only way to ensure long-term stability and prosperity. This is a critical issue that requires immediate attention and action.
STOP GOING INTO DEBT AND GIVING IT ALL AWAY! THAT’S JUST STUPID!
Copyright 2017 Joel E. Mason