Why America needs a debt ‘default’

By Anthony Mirhaydari – It’s clear the fiscal fight in Washington isn’t going to end anytime soon.

The causes of this mess are manifold.

At the core, the country abused its privilege as the issuer of the world’s reserve currency. The global demand for dollars enabled our debt dependence. It allowed households to leverage up with cheap mortgages. It allowed banks to play hedge fund and load up on asset-backed bonds sheltered in off-balance-sheet vehicles. And it allowed the government to promise low taxes, ample benefits, and plenty of bailout cash when it all went wrong in 2008. more> http://tinyurl.com/n9jn3nx

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