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We're taught early on: don't buy things you can't afford, but our Government didn't seem to pay attention. The official national debt is approaching $10 trillion. But that's not the whole story. The "real national debt," which includes both current liabilities and unfunded promises for entitlement programs, is $53 trillion. That's $175,000 of debt for each and every American.
$2.4 trillion of that $10 trillion national debt is in the hands of foreign governments, half of which is in the hands of just two countries: Japan and China. In the long term, this figure is expected to skyrocket and America could struggle to negotiate with its foreign creditors.
Finding buyers for American treasury bonds is usually considered a good thing, but China is a problematic creditor due to potential strategic conflicts. Sending a "sell" order that roils markets may not give China a veto over U.S. foreign policy, but it can increase the cost of any U.S. policy that China opposes.
As it stands, every American taxpayer's share of current foreign-owned debt is $19,750. Don't you think it's time Congress paid attention?