] Others agreed, but note that Bush and U.S. taxpayers may ] have a few years' breathing room. "Right now, we're ] floating along because the Japanese and Chinese are ] financing our debt by buying government bonds," said Mark ] Votruba, assistant professor of economics at Case Western ] Reserve University. ] ] ] "There's going to come a day when they're not going to do ] that. Then the only way to sell our debt will be to ] increase the interest that we pay on bonds, and that ] means all interest rates are going to go up," he said. ] ] ] But that might not happen for a few years, Votruba said. ] "If the dollar starts falling in value and we see any ] sort of change with the Chinese and Japanese not buying ] our bonds so we have trouble selling Treasury bonds, then ] there will have to be some kind of response. If it ] doesn't happen in the next four years, it'll happen soon ] after that. That's my prediction," he said. Who finances America? |