Tipping points are a great concept, but virtually impossible to identify ahead of time -- let alone when they are occurring. It is only with the great luxury of hindsight that we can look back and know that the proverbial bell has rung. In my view, March 16, 2005 could end up in the running as a possible tipping point for America. Suddenly, the US has taken on a very different aura in an increasingly unbalanced world: The confluence of a record current account deficit, a disaster from General Motors, and yet another new high for oil prices all speak of an increasingly precarious role for the global hegemon. World financial markets have barely begun to sniff that out.
The article highlights something which has become fairly apparent to me. Our "elected" officials AKA the Bushies are setting the United States up for a fall. I am truly concerned that this coming fall will not simply be a recession buta full blown collapse of everything we are currently taking for granted. How long can we expect the rest of the world to finance our party? How long before we come to the point that we realize that we cannot expect the world to continue to invest in our country while we do not? Oil is reaching new highs, the current account deficit is at a record and foreign banks are beginning to realize that the dollar is not such a good investment.