The position of the United States given both the high level of U.S. debt and its budget deficit within the framework of a globalized and interdependent world economy was the topic of discussion between Lubin Professor Michael Szenberg, Ph.D, and “On the Money” Host Steve Pomeranz, CFP.
Key points made and proposed by Dr. Szenberg include:
- The burning point at the present time is the high deficit and debt levels of the U.S. that affect the confidence in willingness and ability of the U.S. to maintain its leadership position, which is so crucially needed.
- China has substantially increased capabilities in terms of military and economic power. But it cannot match the power of the U.S. due to its lack of moral power.
- How do we improve the economic capabilities of the U.S.? Reducing sharply the deficit and debt levels will increase the most important component of economic development – confidence in the country.
- My proposal is for the U.S. President appearing in an extraordinary address, accompanied by leaders of both parties and representatives of every segment of the population – from multimillionaires like Warren Buffett, to blue collar workers. The address will focus on how to save America and prevent its decline similar to that of other civilizations in the past. The American exceptionalism will be reflected in the willingness of the people to contribute voluntarily part of their savings for the purpose of eliminating the public debt and reinforcing the confidence in the U.S.
- What unites all Americans irrespective of their affiliations is that we all want America to prosper.