Michael Hudson: Our Military Expansion Funded By Foreign Banks.

Our country tis of thee? Give me a break. As a matter of fact, Obama needs to give all of our citizens, who struggle daily, in order to provide the manpower and money to whack the innocent nations of our world, who once believed that America is a land of "freedom" a break. Large amounts of surplus dollars towards the purchase of US Treasury bonds, which serve to finance the federal US budget deficit. Strange as it may seem, and irrational as it would be in a more logical system of world diplomacy, the "dollar glut" is what finances America's global military build-up. It forces foreign central banks to bear the cost of America's expanding military empire - "Effective taxation without representation". Keeping international reserves in "dollars" means recycling their dollar inflows to buy US Treasury Bills, namely US government debt issued largely to finance our military. To date, countries have been as powerless to defend themselves against the fact that this compulsory financing of US military spending is built into the global financial system. Neo-liberal economists applaud this bizarre method of financing as if it were part of the nature of economics, and "free markets", rather than bare-knuckle diplomacy wielded with increasing aggressiveness by US officials.

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