How is China to return their debts the United States?? If the bonds lose value, what happens … Debt payments to the United States Is not?
The national debt is the amount the U.S. government Treasury Are indebted to the holders of bonds and notes. The final totals in 2008 Is the amount of U.S. $ 9.96 trillion. This debt, or 4.1 trillion U.S. dollars Nearly half held by government agencies such as the Federal Reserve Bank 5.8 trillion U.S. dollars of the Social Security trust fund and other insurance Companies, banks, pension funds, including private homes and foreigners to the general public Held by central banks. The largest foreign investors of U.S. Treasuries Released at the end of 2008 the Chinese central bank held debt of about 727 billion, Approximately 13% of the U.S. dollar. If the governemt simply for its obligations In fact it is the default and declare bankruptcy to clear their debts. This would likely bankrupt the Social Security as a knock on effect Treasury bonds rather than go to keep their savings at home Millions. It is possible as well as the U.S. financial system, However, the international financial system will collapse. United States $ Unthinkable would fall to lowest level Both the U.S. dollar would sell the line nobody will lend to the United States Is. Credit default swap spread and the high level of U.S. $ issued debt will soar almost certainly sub- Investment ('junk bonds' to) the level of autumn. Summary: Chaos As the world has never seen depression. At least for now, the financial U.S. government debt market is still very basically not Is not convinced.
[Dow 10000] US vs China: Debt Bubble, Greece and Chinese