How Much Debt Can The US Withstand?

We got 20 trillion in national debt, why can't we go to 35 trillion? Why can't we go to 40 trillion? 

Why can't we just continue to increase the national debt? 

It reminds me of the old adage about how many straws can you put on a on a camel's back? You don't know until you put that final straw that's one too many and then you break its back. 

So, can we go to 25 trillion? Maybe. But can we go to 30 trillion? We're not going to know. At some point we're gonna break the back of the camel with all this debt and then we're gonna find out how much debt we can pile on and it's not going to be pretty because then we're gonna have a crisis.

Dollar Crisis, Sovereign Debt Crisis

This is the third gigantic bubble that the Federal Reserve has inflated and when this one pops it's not going to be the third time's the charm. It's gonna be three strikes you're out because I think that this bubble is too big to pop. It's the mother of all bubbles and when it bursts there is not a bigger one that the Federal Reserve is going to be able to inflate to mask these problems meaning that we can't kick the can down the road anymore we're gone we're going to have to deal with these problems.

I think the problem that we're going to be confronted with is going to be much worse than a financial crisis, it is going to be a dollar crisis and it is going to be a sovereign debt crisis where the bonds that people are worried about are not some subprime mortgage that some guy borrowed money to buy a house that can't afford. It's going to be the US government that people are worried about and the the the solvency of the government and the Treasury bonds.

The Appeal of International Stocks

People who are in the US stock market are overlooking much better returns from much better valuation levels that are happening overseas. So, I think people should take advantage of the overpriced US stock market plus the overpriced US dollar and sell and move money abroad get into the international markets. (SPDR S&P 500 Index ETF (SPY), Nasdaq 100 Index ETF (QQQ), iShares MSCI Emerging Markets Index ETF (EEM))