Economy

Michael Moore Was Right

America isn't broke. Far from it.

“The U.S. government is not broke,” said Marc Chandler, global head of currency strategy for Brown Brothers Harriman & Co. in New York. “There’s no evidence that the market is treating the U.S. government like it’s broke.”

The U.S. today is able to borrow at historically low interest rates, paying 0.68 percent on a two-year note that it had to offer at 5.1 percent before the financial crisis began in 2007. Financial products that pay off if Uncle Sam defaults aren’t attracting unusual investor demand. And tax revenue as a percentage of the economy is at a 60-year low, meaning if the government needs to raise cash and can summon the political will, it could do so.

It's odd hearing how "America is broke" from Exceptionalist wingnuts who think the United States is God's country of apple pie, foreigner smackdowns and magical wonderment.

Adding... Here's Michael Moore being right.

(via Oliver)