Sorry America, But We're Toast

Mike Whitney OpEd sees America's economic house of cards about to crumble in an economic meltdown, in part because of staggering oil import deficit.

Published: 19-Mar-2005

Don't look now, but Bush's house-of-cards economy is about to come crashing to earth. Just yesterday the Commerce Dept announced that the trade deficit soared to an all time high of $665 billion in 2004; a whopping 25% increase from the previous year. America's gluttonous appetite for cheap foreign goods and its inability to produce more of what it consumes is quickening the country's inevitable day of reckoning. Despite the rosy projections from the Bush clan and their friends in the media, the probability of an economic meltdown becomes more likely every day. Does the average American have any idea of the catastrophe that's facing us?

Apparently, not. As the AP's Martin Crutsinger says, "The deficit for 2004 was not only a record in dollar terms but also as a percentage of the total U.S. economy, climbing to 5.7 percent of the gross domestic product, up from 4.8 percent of GDP (news - web sites) in 2003. (By way of comparison; Argentina collapsed when its trade deficit hit 4% of GDP)

The deficit represents the amount in resources that the United States is transferring into the hands of foreigners in exchange for foreign oil, cars and other products that Americans are purchasing."

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