Well, if you look at the gadget that I've put on my blog, you'll notice that the national debt has exceeded 11 trillion dollars. Last I've heard, the Gross Domestic Product is about 11 trillion dollars.
So what does this mean? Basically this means that the nation's liabilities have exceeded the nation's production capabilities and that our nation is broke. In other words, our national equity has no value.
And what does that mean? You know I'm not all that sure because I'm not a trained and seasoned economist. But I can make speculations about it. For one thing, that means that nations and other organizations are much less likely to lend money to the federal government. This is because they know that we don't have the money to pay them back.
This also means that the federal government may not be able to fund any future stimulus bills without heavy taxation. The Federal Reserve is already has it's printing presses pumping out money like there's no tomorrow, which very well could be, so the only option left is heavy taxation. And any monkey with half a brain knows that you don't stimulate the economy by taxing production and giving it back to them, after filtering it through several layers of bureaucracy of course.
Our nation is flat broke. If the government took all the country's money and put it toward the national debt, we'd still owe people money. That's a serious problem that needs to be addressed.
I doubt Congress will do anything about this problem. They represent the people and the dumb masses are still addicted to debt, despite the recent banking crashes. The rhetoric from the Obama administration has been all about restoring credit, but credit isn't worth restoring at this point.
So I guess there isn't much left to do now but watch as the country begins to collapse under the massive debt we all have and the incompetent government that pretends to know how to fix all this.