Symptomatic

I have already posted on the absurd idea of allowing Dubai Ports to manage 6 of the most important U.S. ports but I haven't really touched on the reality of this and similar things that will inevitably happen over the next few years.

Like it or not, the U.S., especially during the Bush reign, have been systematically selling the U.S. to the highest foreign bidder. The Bush tax cuts, war expense and other fiscal mismanagement have been financed by foreign investment. The current account deficit for 2006 is going to be somewhere around 900 billion dollars. Within just a few years these foreign lenders such as China and Saudi Arabia are going to own virtually every capital asset in the U.S. This means factories, ports, real estate, corporations and all the rest are going to be increasingly controlled by foreign countries. What's more this kind of debt gives these countries the ability to punish the U.S. severely if we don't tow the line. All it will take is for them start unloading their reserves and we will see our economy collapse.

Estimates are that by 2013 or sooner fully 75% of the American GDP will be represented by foreign liabilities. This current deal is just an indicator of what is to come if we continue to live beyond our means. Robert Heinlein covered the concept very succinctly and that is TANSTAAFL (There ain't no such this as a free lunch).

We may very well be beyond the point of no return so get used to the idea of having to kowtow to some foreign government. Even if this port deal is scrubbed for the time being it is only a matter of time before it and more become the reality we have to live with.

UPDATE: BTW...if you think I am overstating the issue check out the following. Do I hear 21?
From UPI

WASHINGTON, Feb. 24 (UPI) -- A United Arab Emirates government-owned company is poised to take over port terminal operations in 21 American ports, far more than the six widely reported.

The Bush administration has approved the takeover of British-owned Peninsular & Oriental Steam Navigation Co. to DP World, a deal set to go forward March 2 unless Congress intervenes.

P&O is the parent company of P&O Ports North America, which leases terminals for the import and export and loading and unloading and security of cargo in 21 ports, 11 on the East Coast, ranging from Portland, Maine to Miami, Florida, and 10 on the Gulf Coast, from Gulfport, Miss., to Corpus Christi, Texas, according to the company's Web site.