is for a group debate in class I have to find the connection between the funding of a national health care system an the war on Iraq, for others to evaluate.
It is Related to the National budget. The government has spent more dollars than it has collected from taxpayers over the past years, especially on the war. And what happens if we do?
Where would the money come from? Well a lot of it has come from the rest of the world and a rise of taxes, that's why many European banks are also feeling the impact of our economy, they lent money to the US, and China provided lots of capital too, purchasing US Bonds, our debt.
How are we going to fund a National Health Care system, with debt?? Foreign Debt.
Currently we import more than we export and we can't just print more dollars to fund the gap, that will only cause a deflation is which is worse than inflation, and more taxes
Deflation creates negative growth in the price of the commodities.
it would lead to more unemployment and reduction in prices,
investors would never lent money to a country in this situation, take the Argentina crisis in 2002 for example deflation discourage national and foreign investors, and unemployment reached 25%.
China has warehouses full of American dollars and bonds.
If they want to blackmail US into some policy that would help them all they have to do it threaten to release a bunch of that money on the market and the US dollar will nosedive. That would seriously hurt the USA economy
any comments, feedback good bad GREAT.
thanks|||I think you need a much better understanding of the world's economics.
Some of your ideas are right, but others are skewed.
Using debt ("printing money") usually causes inflation because it devalues the dollar.
I really doubt Europe is loaning the US funds, or buying our dollars or treasury bonds.
China does not have warehouses full of physical U.S. dollars (although some small countries counterfeit our money.) I also doubt China can blackmail the U.S., even if they wanted to. Remember, we can also tank their economy by not buying anything from them.
Basically, there is not connection between funding the war in Iraq and paying for health care. If you cut the number of troops (who currently have government health insurance) you just add more people to the unemployment rolls and subsidized health care plans the states offer, with no benefit ( of strong national security) for the funds expended. "We the People" must pay taxes to keep our government and country going. I think national health care will probably be funded by stealing the funds from the next generations, who (you are right) will have to pay more taxes, and weaken (maybe kill!) the economy; so I am against nationalized, totally socialized, forced health care.|||idk but im debate also :)
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