America's Creditors Will Dictate Her Economic Cure

Whatever compromise America's elected officials reach regarding the debt ceiling, her foreign creditors will eventually force her to do both what Republicans demand— slashing discretionary and entitlement spending drastically--and what liberal Democrats insist on—raising taxes, eliminating subsidies, and closing tax loopholes, especially for the so-called rich. So maybe America's leaders on both sides of the issue should just take a long sabbatical and allow the global market to settle the matter. The cure, of course, will be painful, but any further attempts at negotiations along intransigent-ideological lines would only prolong and worsen America's decades-long economic decay.

(No, neither Barack Obama nor George Bush are to blame for it. The decay harks back to the year 1913, with the enactment of 16th Amendment granting Congress the power to tax income, and the creation of the privately-owned Federal Reserve Bank.)

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