Will Grigg?s Liberty Minute

September 9, 2009

One illustration of the bizarre role-reversal in the world economy is found in a warning recently issued by Cheng Siwei, a high-ranking official in the government of Communist China.

Referring to the ongoing flood of currency inflation undertaken by the Federal Reserve, Cheng warned that the dollar ?will fall hard.?

?The U.S. spends tomorrow?s money today,? commented Cheng. ?We Chinese spend today?s money tomorrow. That?s why we have this financial crisis.?

The Chinese produce, save and lend rather than spend; Washington borrows and inflates rather than encouraging Americans to produce and save. Accordingly, the wealthiest nation in the world ? in nominal terms ? borrows heavily from China in order to buy what they produce, and pays the Chinese back in rapidly depreciating dollars. This cannot continue.

Cheng concluded his warning by quoting the wisdom of Benjamin Franklin: ?He who goes borrowing, goes sorrowing.? It?s good to know our Founding Fathers are still respected in Beijing, if not in Washington.

Let us take back the liberty wherewith Christ has made us free.