The third factor that should concern us all involves intrest expenses. Many of the world's leading economies are approaching a tipping point where there is little or no reasonable hope of ever being able to repay all their debts. In Britian, the national debt per child born this year is estimated at 20k euros . In Japan, it takes almost 60 percent of all tax reciepts just to service the national debt. Japan's situation would be even worse if the government could no longer sell most of it's bonds at below-market intrest rates to its citizens.
During the five years ending in 2008, the "intrest" , just the intrest on U.S. debt went from $322 billion per year to $454 billion. That's a 41 percent increase by my calculations, and I'm just a english major, lol. Keep in mind those figures were before the government borrowed even more so it could spend trillions in "stimulus" dollars.
Although the United States still has the largest and most diverse economy in the world, it is slowly becoming more and more vulnerable to its creditors, especially CHINA, which recently eclipsed Germany as the worlds largest exporter.
Americans need to better prepare themselves for a new world in which the global economy is less and less dependent on the United States. Meanwhile, the debt clock keeps ticking, tick tock, tick tock....