The Consequences of Chinese-Held Debt | Economy In Crisis
- The United States has become increasingly dependent on China to fund the sort of lifestyle Americans expect. There are good arguments to be made for occasional deficit spending, but the United States has not managed its debt responsibly. This leaves us vulnerable to those that buy and hold our debt. Opinions differ on what the exact effects would be if China were to dump our debt, but it is clear it would be bad for America.