Question Hi. I understand China and Japan have invested a lot of money in U.S. government bonds. Don't other countries owe the U.S. a lot of money for debts incurred after WWII? Or from any other period in history for that matter...
Thank you!
Answer Yes, other countries "owe" us money from WWII, just like we "owe" the United Nations for pledges we made.
However, that "owe" is different from the Treasury Bonds that were sold to Japan, China, etc. That money is due when the bonds are turned in for payment. We can't ignore those debts like we can other debts.
Because the Obama administration is printing trillions of dollars we don't have, the value of the U.S. dollar is rapidly losing value. So if China, bought 10 Billion dollars of Treasury Bonds 6 months ago, it's probably only worth 9 Billion today. If countries decide to buy bonds from countries with more stable currency, then the U.S. dollar will no longer be the world's currency, and it will really become worthless.
