Does this cartoon seem to fit the economic situation today?

From Drop Box

I'm still amazed that every dollar added to our economy is created from debt. That's right, when our Government, and it's private, super-secret partner in crime the Federal Reserve, want to create more money to "bailout" or "stimulate the economy", it creates bonds (out of thin air) and sells that debt to either interests in the US or in foreign markets (China/Japan). China is currently the largest holder of US debt at over 1 Trillion dollars. Yes, we owe China over 1 Trillion dollars and borrow 3 Billion from them a day just to fund our deficit spending. Think about that for a minute. What would happen to you if you even had to borrow $300/day to keep living your current lifestyle? What you borrow more to get yourself out of trouble? No.

I'm not sure what the future holds, but it can't be pretty. If China suddenly decided that it wanted to collect on all these debts it has been buying from the US, a MASSIVE sell-off of the U$D would happen and the value would drop tremendously. What does that mean exactly? It means that the US would have to print a lot of new money (turn on the printing presses) to pay off all of this debt. We obviously don't have this money (otherwise we wouldn't need to borrow it in the first place). The US wouldn't be on the line to purchase all of this debt back, as other foreign entities would auction for it with the Chinese. The Chinese may not get 100% of the debt back, but they would sell off the US Bonds to the highest bidder. It looks like supply > demand for the USD. Can anyone tell me what happens when supply > demand? That's right Econ101 students; the price/value of the item being sold decreases. The dollar's value would decrease causing massive inflation. Of course, SOME of the bonds would be bought back by the US and we would have to print money to pay for them. So let's see:

1. ebay style betting for US bonds and treasury bills
2. drives down the value of the dollar (supply > demand)
3. US prints more money to pay for the bonds
4. again, drives down the value of the dollar (inflation)
5. your money = worth less

Looks like that's the 5 easy steps to hinder the good American saver....YOU and ME! What have we done to deserve this you may ask? I tell you NOTHING. I haven't done anything. I've saved, payed off my credit cards, paid off my car, worked hard, saved, didn't buy a house that I can't afford, didn't over extend myself and have always lived within my means. Oh yeah, I've paid ALL of my taxes on time even though I despise them. What have I gotten in return? I've lost 50% in my 401k and will be hit with MASSIVE INFLATION in the future.

Remember, the Government is BROKE. They have NO money. The only money that they can spend must be created 1 of 2 ways:

1. Create more out of debt (see paragraph 1)
2. Increase taxes

I don't know about you, but it seems that the Federal Government got caught with it's hand in the cookie jar with a mouth full of cookies. They are in a mess, and they know it. Spend Spend Spend can only prolong things. It's the small hit of crack to get you through the day. What happened to savings, personal responsibility and living within our means? President Obama recently said that American families are doing the right thing by cutting back, saving more and tightening their belts, yet the Fed Gov spends more than ever. Does this sound hypercritical to you? Is the only way for us to get out of this recession really for our Fed Gov to spend more?

The only reason that the US is still the super power of the world is because we own the bombs. In 2008, 68% of our Federal Budget was spent on the Military. Now, ask yourself, why was so much spent on the Military? What's going on here? Don't believe me?? Check this out!! Has anyone warned us about the Military Industrial Complex before?

We are bullies, and there's no denying it. I welcome the new era of US history, where we don't have the means to push people around to get what we want. Welcome to the reality that all other countries live in, America.

-Desh

PS: Please contact your representatives to support Ron Paul's bill HR1207. This is very short, and they should be able to read the whole thing (unlike the 1000 page bailout bill). This would give Congress the right to audit the Federal Reserve. You know, the private, super-secret organization that creates and controls all of our money. Yeah, we don't have the authority to actually audit them, and see what they are doing....