Legends of the Fall

A U.S. default isn't a matter of "if" but "when," David Murrin, chief investment officer at Emergent Asset Management, told CNBC.

"It's inevitable that the U.S. will default — it's essentially an empire which is overextended and in decline — and that its financial system will go with it," he said.

The question is: Does the U.S. default when it is forced to by the outside world, probably the Chinese, or does it take the option to default on its own terms in such a way that it may have a strategic advantage, Murrin said.
~ from US Default Inevitable: Fund Manager by Shai Ahmed ~

It is not my practice to pay much attention to hedge fund managers, but, in this case, Murrin is stating the obvious. History has shown that empires emerge, eventually overreach and then decline. When we look at the massive amount of debt our nation has taken on in order to pursue imperialistic wars plus the amount of money that has been pilfered from the national treasury and passed on to the egregiously rich, it doesn't take a rocket science to figure out that we are NOT on a sustainable path!

For all the hand wringing going on in our nation's capitol over the current debt ceiling, the day is coming soon that all the debates and all the legislation in the world won't make any difference. One of these days -- my guess is sometime within the next ten years -- our national debt will become too large and it will cave in what is left of our economy. The Democrats will blame the Republicans and the Republicans will blame the Democrats, but both will be equally culpable.

When that day comes...