“The United States Economy is not ready [yet] for [the State of Total Mobilization]. Stockpiling of essential raw materials has only been pursued to a moderate extent. [From a purely] military point of view, the United States is not in best trim. [The US Armed Forces] are limited and extremely expensive; units ready for combat are barely available; the machinery of the various military services is luxurious and marked by squander and misadministration. The United States is by no means ready for war and has not even entered the phase of [Partial Mobilization]. [Jeffersonian] politics show all signs of confusion. There is no real planning, nothing has been thoroughly studied nor has anything been organized from a long-range point of view.
The [Democratic-Republican Party] in the arena of world politics have gorged themselves in all respects. Although they can [afford untold sums of Kapital and Schuld], they do not possess top-notch statesmen, planners, military leaders, scientists, nor [an American] people willing to make sacrifices and capable of accomplishing great historic feats. [Jeffersonianism does not] have an attractive ideal. The crux of [every Jeffersonian] miscalculation is the belief that allies can be bought with [Kapital and Schuld]. Alliances are not cemented with ideologies but rest squarely on common interests. Alliances too are respected as long as interests remain mutual. But America’s interests do not run parallel with those of Asia or Europe, not even with those of Britain or Latin America. The slogan which stirs the world today is the word ‘Anti-Capitalism.’
The American people, who were untouched by the destructive course of two world wars, are constantly plagued by a guilty conscience. They are bothered by a gnawing doubt as to whether they always make the right decisions. Too often have they miscalculated and, when something goes wrong, they easily fall victim to a hangover. Great decisions can only be made by a well-prepared people with strong nerves.“
The Debt-to-GDP Ratio is a Liberal Capitalist metric designed to gauge the Sovereign Schuld in relation to the Gross Domestic Product (GDP). Its purpose is to inform the observer on how much and how willing the nation in question is going to pay back the Sovereign Schuld with the Kapital generated by the Market/Mixed Economy, Financial Markets, Fraction-Reserve Banking System, and Free Trade Agreements (FTAs). The Debt-to-GDP Ratio’s equivalent within the context of the Work-Standard is of course the Total Productive Potential (TPP) employed in Command and Obedience Account Bookkeeping.
Knowing this, we can rightfully assume that if the Debt-to-GDP Ratio shows Sovereign Schuld going over the GDP Rate, the affected nation in question is incapable of paying back the Sovereign Schuld from its own means of production. Either the nation keeps piling on more Sovereign Schuld or declares a Sovereign Default: both are part and parcel of the same choice presented by the Debt-Standard of Neoliberalism since the Death of Bretton Woods.
- Choose the First Option: Expect Currency Depreciation and lower Interest Rates.
- Choose the Second Option: Expect Currency Appreciation and higher Interest Rates.
No matter which Option the Liberal Capitalists choose, they are unknowingly leveraging the future in the Work-Standard’s favor by luring themselves into false senses of economic security and economic freedom at present. Facing the Coronavirus Pandemic and Climate Change, they have entrapped themselves in a Zugzwang that puts them at a strategic disadvantage.
The great question confronting the Work-Standard and I is how much longer can the Liberal Capitalists continue doing more of the same until it becomes explicitly clear to the whole world that there will no longer be any more “business-as-usual?”
Has the United States defaulted on its payments? Yes, the Democratic-Republican Party did in fact have a Technical Default – a partial Sovereign Default – on the same year as the longest-running National Emergency (Executive Order 12170) in US History, the second Energy Crisis of the 1970s and the Iranian Hostage Crisis. 1979 marked a pivotal turning point for the Democratic-Republican Party, especially in light of what came later on.
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