Watson: U.S. turn to be banana republic

Half a generation ago a Wall Street Journal editorial declared Canada an “honorary member of the Third World.” The shock of that scolding helped return a country that had begun to think of itself as ungovernable back to fiscal and economic sanity. Might a similarly sharp rebuke from its friendly northern neighbour aid in turning an apparently increasingly ungovernable United States back to sanity? Probably not. But we would feel bad for not trying: This summer’s disgraceful spectacle of a U.S. political system seemingly incapable of addressing the country’s dire fiscal condition makes the United States worthy of honorary banana republic status — with the rider that a banana republic that takes chances with the world economy gives bananas a bad name.

In fact, the U.S. fiscal deficit, at more than 10% of GDP, is already much higher than markets will typically allow the average Third-World deficit to go. The only reason the United States can borrow so much is that for at least a century the world’s lenders have considered the “full faith and credit” of the U.S. government to be as good as gold, sometimes better. But now American politicians are toying with their country’s heretofore sterling reputation — a reputation that in fact eclipsed sterling’s — so as to avoid political responsibility for budget compromises that anyone who does not draw a paycheque from Washington politics can see must be part of any final agreement. This they do in the apparent but obviously misguided belief that if their country’s reputation goes, their own can somehow survive.

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11 Responses to Watson: U.S. turn to be banana republic

  1. Mary T says:

    What would the reaction be if the conservative govt had not presented a budget for 2.5 yrs. Obama has not presented a budget since taking office.

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  2. Jack says:

    To be clear to all — the US is no “banana republic” but my view is that it soon will be if America continues to tolerate “Obama and Co”. It’s time for him to go and I think the US taxpayer “gets that”. Unfortunately, there is no telling how much damage he is still capable of in the last year of his reign.

    I would suspect “a lot” and I would recommend the US buy time now in order to dump them all soon. Never to be elected again post 2012.

    ‘If they walk like Daffy Duck, quack like Daffy Duck — they must be Daffy Duck (or his progeny).’

    Nothing more need be said at this time.

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  3. beentheredonethat says:

    If there was ever a photograph that said a 1000 words it’s this one.

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    • Jack says:

      “Yup”…if you plugged them in “in series” you couldn’t light anything.

      Dead batteries.

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      • WCT says:

        “HE” must have the + down instead of up … Oh if “HE” were only the battery bunny!!! Say “let’s shoot some hoops”???

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  4. Hynd says:

    Yet the obama has raised 80+ million in the last quarter much more than all others in total. ARE THE AMERICANS STUPID?

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  5. Sandy says:

    O/T Jack. I am going to be coming back in a month or so to take part in the Ontario election campaign. I can’t remember your twitter addy. Could you follow me and then I’ll follow you? LOL

    I have given up worrying about using my own name since its out there anyway. Nothing like some down time to get a wider perspective.

    I have been tempted to come here and write about the TDSB allowing an Iman to dictate that it is acceptable to teach religion in a public school and that the girls should be at the back. Didn’t John Tory lose an election on just that issue. Funny, nothing but silence from the McGuinty crowd at QP!!! It’s either okay for all religions or none.

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    • Jack says:

      Hi Sandy, here you go: http://twitter.com/#!/jacksnewswatch

      I’ll keep an eye on yours as well.

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    • beentheredonethat says:

      “I have been tempted to come here and write about the TDSB allowing an Iman to dictate that it is acceptable to teach religion in a public school and that the girls should be at the back.”

      Please do, Sandy. Please!

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  6. nomdeblog says:

    Exactly Sandy. But by taking no position on the current fiasco, McGuinty is hoping we’ll forget his successful attack on John Tory’s position…which was at least logical ….“It’s either okay for all religions or none.”

    The Liberals see themselves as “honest brokers” which is code for being on all sides of the situation. Never taking a stance means never being wrong…in their opinion. But the fact is, it is wrong for a politician to waffle and never take a position; in fact waffling and failure to adapt to changing conditions can cause extinction and McGuinty is about to become extinct.

    Basically Liberals are terrified of making a mistake. That’s why they won’t even tax overtly (hence the Health Tax and the “Sneaky eco-tax”). They refuse to take the risk of clear policies, their method is to obfuscate. However, no risk, no gain. Eventually Darwin will do his work on the Provincial Liberals.

    Which brings us back to the topic of the post; Ontario has an opportunity this October to hopefully avoid the slippery slope to becoming the Banana Republic that Obama is trying his best to create in the US.

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