The nation's unnerving descent into debt began a decade ago with a choice, not a crisis. In January 2001, with the budget balanced and clear sailing ahead, the Congressional Budget Office forecast ever-larger annual surpluses for the foreseeable future. Voices of caution were swept aside in the rush to take advantage of the apparent bounty. Political leaders chose to cut taxes, jack up spending and, for the first time in U.S. history, wage two wars solely with borrowed funds. Now the national debt of $14 trillion is larger, as a percentage of the economy, than at any time in U.S. history except for the...
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...the world has survived the “Latin American debt crisis, the European monetary upheaval of 1992, [and] the Mexican bailout of 1994,” yet without some quick actions the world could witness another economical breakdown in the US (Garten).
Altman, Robert C., and Richard N. Haass. "AmericanProfligacy and American Power." Foreign
Affairs (2010). Web. 1 May 2011.
Garten, Jeffrey. "Lessons for the Next Financial Crisis." Foreign Affairs 78.2 (1999): 76-
92. Jstor. Web. 1 May 2011.
Shelton, Judy. "Currency Chaos: Where Do We Go From Here?" The Wall Street
Journal(2010). The Wall Street Journal. Web. 1 May 2011.
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