China Again Issues Warning On U.S. Debt Disaster

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October 19, 2009 (LPAC)—The official Chinese news agency, Xinhua, analyzes the fiscal year-end U.S. government budget statement in an article entitled, "U.S debt dilemma, no better solution?" The article does not, itself, propose anything in the way of a "better solution," but does observe: "The U.S. government is without doubt facing great challenges, among which the debt dilemma is the biggest test... Simply speaking, the U.S. government's method is to borrow money from the world and devalue the dollar, the dominant reserve currency of the world currently." The article ends with the warning, "Foreign investors are not ATMs without limit either. No wonder many experts worry that the debt bubble will be a greater crisis some day in the future."