Republicans' threat to blow up the economy makes U.S. look "insane" to the rest of the world

[ProSense]

GOP antics may lead to a 'de-Americanized world'

By Steve Benen

When there's a global economic crisis, investors from around the world have spent the last several generations doing one thing: they buy U.S. treasuries. The reasoning, of course, is that there is no safer investment, anywhere on the planet, than the United States of America...these assumptions, of course, were cultivated over generations, and pre-date the radicalization of the Republican Party...what happens when U.S. treasuries are no longer considered safe, Americans can no longer be counted on to pay its bills, and the nation's most powerful economy chooses to default on purpose? The world starts reevaluating old assumptions, that's what.

In Britain, Jon Cunliffe, who will become deputy governor of the Bank of England next month, told members of Parliament that banks should be developing contingency plans to deal with an American default if one happens.

And Chinese leaders called on a "befuddled world to start considering building a de-Americanized world." In a commentary on Sunday, the state-run Chinese news agency Xinhua blamed "cyclical stagnation in Washington" for leaving the dollar-based assets of many nations in jeopardy. It said the "international community is highly agonized."

I know I've been pushing this thesis in recent weeks, but it's important to remember the unique role the United States plays in global leadership and the extent to which Republican antics in Congress will change the dynamic that's been stable for the better part of the last century.

No major western power has defaulted since Hitler's Germany, so this week may add some history to the potentially catastrophic economic consequences, and the world is watching closely...try to imagine explaining this ongoing crisis to a foreign observer who doesn't fully appreciate the nuances of domestic politics. "Yes, we have the largest economy on the planet. Yes, we want to maintain global credibility. Yes, the process of extending our borrowing authority is incredibly easy and could be completed in about 10 minutes. No, some members of our legislative branch have decided they no longer want the United States to honor its obligations and pay for the things they've already bought."

I suspect global observers would find this truly inexplicable...Ezra Klein added yesterday that to the rest of the world, "the United States looks insane right now."

They're dealing with real problems that their political systems are struggling to solve. The United States' political system is creating fake problems that it may choose to leave unsolved.

"The United States was the one bright spot in the world recovery," says OECD Secretary General Angel Gurria. "It was leading the recovery! Leading the creation of jobs! This unfortunate situation with the budget and debt happens at the moment it was looking good." <...>

At best, the United States is slowing its recovery -- and that of the rest of the world. At worst, it's going to trigger another global crisis. That's why, Gurria says, his concern isn't that the United States' economy is weak, but that its political system is.

It's heartbreaking that so much of the world is now laughing at us, not because we have crises we can't solve, but because members of one party -- the one that lost the most recent national elections -- insist on manufacturing new crises to advance their unpopular agenda.

- more -

http://maddowblog.msnbc.com/_news/2013/10/15/20974802-gop-antics-may-lead-to-a-de-americanized-world

IMF Chief Calls Out Republican Debt Ceiling Truthers
http://www.democraticunderground.com/10023843957

New House offer proves Boehner is a clown and Republicans are terrorists.
http://www.democraticunderground.com/10023852856

Poll: New High For Disapproval Of GOP's Handling Of Budget Talks
http://www.democraticunderground.com/10023847823

[William769]

1. Kick & recommended.

[Agnosticsherbet]

2. Even if we reopen the government and pay our debts, I think this is our fall of the Soviet Union

moment.

Our two party systems has cracked wide open and show that it is inherently unstable.

Many may see this as a good thing, but it will be a bumpy ride all the way to the bottom.

[texanwitch]

3. Well, we won't be the worlds police anymore.

All we will be is a paper lion, if that.

[Agnosticsherbet]

4. With run away inflation and massive depression, losing the job as the World Cop

will be the least of our problems.

[texanwitch]

9. I really wonder if the rest of the world real really miss us.

Maybe.

I didn't want to mentioned the rest of the stuff that will happen.

We had a good run.

[Agnosticsherbet]

10. A new cop on the block will step right in. China and a reknewed Russia seem the most obvious

replacements. India will also be a power. It will be a bit more unstable world while other nations maneuver to see who is top dog.

[texanwitch]

11. Yep.

There is always someone waiting in the wings.

[ruffburr]

5. Think were insane?

I would say the R/W Repubs have removed all Doubt

[ProSense]

12. No doubt you'd remove yourself from the collective "we"

The U.S. looks insane because Republicans are lunatics.

[Coyotl]

6. Because the rest of the world is reality-based in their perception of the USA.

#GOPshutdown #ShutdownsRUs

[libodem]

7. Wonder if any countries

Around the world would like us to import some of our Democracy, to them? You know us. Keeping the world safe for Democracy since 1776, or at least 1942.

[kentuck]

8. "look insane"?

[NRaleighLiberal]

13. ....and to add the faces to the US's insanity -

[munster69]

14. We've looked insane before this, bush years, 2010 elections

this time the world might decide to lock us up in a T-bagger rehab.

[ProSense]

15. This is insanity on steroids. n/t

[Glassunion]

16. I thought Gary Busey was taking care of making us look bat-shit insane.

[AAO]

17. It makes us look like this

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