Now that’s what I call globalization!

There was a discussion on CNBC this afternoon about the Bank of China holding $9 billion in U.S. subprime mortgages and $700 million in CDOs.

If China stopped buying our debt, U.S. interest rates will rise. That in turn will lower U.S. consumer spending which in turn will provide less revenue for China’s military buildup.

They buy our toxic debt so we can buy their toxic toys.

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