World War III in Asia?

Debt in today’s world is highly interconnected and America’s debt functions as a form of currency. Our debt China purchased is likely used as collateral or payment to others outside of China. Maybe it’s collateral to German businesses for machinery, payment to the Saudi for oil and reinvested in our own American businesses.

The nullification of the China debt would snowball around the world destroying financial markets and the businesses and countries it connects to and whatever they connect to and so forth. This would destabilize the worlds’ economies, including our own.

Think of it this way: the worldwide financial crisis of the late 2000s was the result of a small bit of interconnected debt gone bad. The result was the worldwide Great Recession which pushed up our unemployment, crippled seniors in retirement, slashed housing values and so forth.

If we were even able to nullify our debt to China, which is doubtful, that huge amount highly leveraged debt would not do nice things to our own economy. Thus it will not be nullified.

China did NOT purchase US debt any more than you purchase US debt when you buy a Treasury bond or when you are paid in US dollars. When you are paid in US dollars you assume you can redeem your dollar for 100 cents. The people where you buy things assume your dollar will be worth 100 cents because it is backed by the US government, it says so right there on the money. China purchased bonds as an investment with the understanding they will be paid an interest rate that is guaranteed by the US government. You can do the same thing. I have and continue to buy US bonds. If you want to call it buying US debt I guess you can. It makes it simpler to imagine you are purchasing bank debt by putting money in a savings account and collecting interest. You are assuming the bank will return your principal and interest much as the government of the USA does for their bonds.

Yes you can’t nullify it because it’s a financial instrument that is available for anyone to buy that our nation sells and is then freely traded on an open market. It’s not like we went to China and asked for a mortgage or a car loan.

[QUOTE=lm1883;176292]The accounts or the one that that holds it can be sanctioned or embargoed and if offshore can be frozen. The sell transaction would be prohibited from the market by SWIFT.[/QUOTE]

You cannot nulify a bond but it can become worthless. There are many such bonds people bought from drilling companies. Those bonds can now be bought for much less than the face value. Similarly a country’s bonds can lose value if it is perceived that the country will not have the money to redeem the bond. [Argentina comes to mind] The USA’s bonds are sought after simply because they have never failed to pay…yet; and are thus sought after as a safe place for other countries to put their money. As long as the USA has a fiat currency and inflation stays in check USA bonds are as safe as one can get. You won’t get rich off them but you’ll get at least your money back.

If the US ever failed to meet these types of financial obligations though, our credit rating would drop, on the scale of global economic crash. Countries like Spain, Ireland, and Greece have these problems and it has an effect on the EU and to a limited extent the rest of the world. If we ever did though it would be a serious financial crash.

I came hear to read about boats and war and I got a mini economics lesson…that was a nice surprise! Keep going, I’m enjoying this :cool: lol

[QUOTE=Capt. Phoenix;176162]It looks like World War III will be in Asia instead of the Middle East. The squabble over territorial waters is getting ridiculous.[/QUOTE]

A World War cannot and will not be limited to Asia or the Middle East, otherwise it would be a regional war.
Any war between major powers will be fought in space and cyberspace as well as on the entire earth, incl. US soil.
Since everybody in charge of major powers know that such a war would kill all life on earth , incl. themselves, it will not happen.

WWIII is already being fought world wide. It is the war between civilizations, ideologies and religions, thus neither conventional nor atomic weapons is of importance for the outcome of this war.
You cannot kill an idea with bombs, rockets, or by deploying large armies.

[QUOTE=ombugge;176303]A World War cannot and will not be limited to Asia or the Middle East, otherwise it would be a regional war.[/QUOTE]

If the major world powers are involved in the fighting the actual war itself could be contained to a specific region and it would still be a “world war”.

[QUOTE=Capt. Phoenix;176315]If the major world powers are involved in the fighting the actual war itself could be contained to a specific region and it would still be a “world war”.[/QUOTE]

If it’s a war, split heads, not hairs.

[QUOTE=ombugge;176303]
You cannot kill an idea with bombs, rockets, or by deploying large armies.[/QUOTE]

If you kill enough people with the offending ideas the survivors won’t matter anymore. Lots of societies, religions, and social practices have been literally scrubbed from existence.

It is amazing to me that the USA keeps bombing and invading people and then act surprised because they get hit back.
A United States Marine Corp Major General who was awarded the Medal of Honor twice summed up this insanity and the people that make the decisions many years ago. Maj. General Butler was later recruited to over throw the US government and President Franklin Roosevelt. He refused. A true patriot.
http://www.ratical.org/ratville/CAH/warisaracket.html

From this morning’s Maritime Reporter:

China’s Maritime Economy Expands by 8 Pct Annually

The total production value of China’s maritime industry grew by an average of 8.4 percent annually from 2011 to 2014, representing over 9.3 percent of the GDP each year, reports China’s official media. During the same time frame, the industrialized utilization of ocean water had accelerated.

Meanwhile back in DC …

[QUOTE=tengineer1;176411]It is amazing to me that the USA keeps bombing and invading people and then act surprised because they get hit back.
A United States Marine Corp Major General who was awarded the Medal of Honor twice summed up this insanity and the people that make the decisions many years ago. Maj. General Butler was later recruited to over throw the US government and President Franklin Roosevelt. He refused. A true patriot.
http://www.ratical.org/ratville/CAH/warisaracket.html[/QUOTE]

Am looking forward to reading his book.

[QUOTE=water;176413]Am looking forward to reading his book.[/QUOTE]

That book should be required reading for anyone associated with the military or holding public office at any level.

[QUOTE=Steamer;176357]If you kill enough people with the offending ideas the survivors won’t matter anymore. Lots of societies, religions, and social practices have been literally scrubbed from existence.[/QUOTE]

And who decide what is offensive ideas and what is not?? Your idea may not meet with universal approval either.

[QUOTE=ombugge;176427]And who decide what is offensive ideas and what is not?? Your idea may not meet with universal approval either.[/QUOTE]

It was hardly my idea, much less a suggestion. The practice has been in existence for a few thousand years. My mention of it was purely a rebuttal of the idea that ideas cannot be killed.

I would think that a resident of your region would be very much aware of traditional methods of dealing with unpopular social and political ideas.

[QUOTE=Steamer;176428]It was hardly my idea, much less a suggestion. The practice has been in existence for a few thousand years. My mention of it was purely a rebuttal of the idea that ideas cannot be killed.

I would think that a resident of your region would be very much aware of traditional methods of dealing with unpopular social and political ideas.[/QUOTE]

Accepted and yes there have been many attempts at killing ideas by bombs and guns in this region.
The latest attempt did not succeed, but the offending idea got beaten by better ideas and the development of a more mature mindset by some wise local leaders.

I hope we are not heading back to the “dark ages” of imperialistic thinking.