Under Obama, the national debt has increased to $12 trillion and will be $21 trillion by 2019. Even still Liberal Washington with Obama at the helm is now debating whether to create more social programs they can't afford.
The dollar's decline is indicative that the United States is no longer the dominant force in the global economy. China is the largest creditor to a heavily indebted U.S. government. World living standards will grow faster than ours, as will global wealth. Capital will move abroad, leaving U.S. unemployment at high levels. That is the cost of Liberal ideology.
By 2030, China will surpass the U.S. in the size of its economy. Global power follows economic strength. Even still, Obama is willfully accelerating the decline of the USA as the global power. China thrives because it is hungry, dynamic, unwilling to accept failure and convinced that it should be a leading force in the world. That is why America thrived a century ago. Today, such hunger and dynamism are less evident in American life and are being replaced by a welfare mentality as Obama seeks personal popularity and ego satisfaction by being an apologist for what he perceives as US shortcomings and by ceding authority to the United Nations.
The next crisis has already started. The vast printing of money has begun to depress the value of the dollar. The economy will appear to recover from the subprime crisis and recession by mid to late 2009. It will though be the calm before the real storm as a consequence of Obama's wild spending. In the early part of the next decade, America will enter a depression, with stocks reaching new lows. Housing prices will not recover and housing will remain a poor investment. A global bull market will not return until the end of the next decade and by then everything will be worth much less in dollar terms because of its declining value.
Obama was elected to be President of the USA. What he has done is totally polarize the country - worse than any President in 40 years. The people who feel disenfranchised most are those who drive the capitalist engine which has made the USA the most successful country in the world. That is a disastrous dynamic.
Obama was elected as a do-gooder: audacity of hope, diplomacy, disarmament, income redistribution, climate change and international-back-pedaling. We will now reap the consequences. Obama is lost in knowing how to handle conflict throughout the world. Afghanistan will become Obama's Vietnam. Obama has no answer to the Taliban or al-Qaeda. Do-gooders believe that everyone has good intentions. Such was Chamberlain's belief when he negotiated "peace for our time" with Hitler in 1937.