Financial insolvency for nations
Question Description
Some credit the fall of the Soviet Union to the steely-eyed resolve of
U.S. President Reagan and the next Republican administration. However,
financial insolvency killed the Union of Soviet Socialist Republics more
effectively than rhetoric or resolve ever could. The Soviet Union had a
far-reaching military, a long history of imperialism, and big problems
at home. One might say it imploded in upon itself.
- In the early 1990s, the U.S.S.R. was embarking on a series of structural social and economic reforms that were designed to completely alter its failed political and ideological history. At the same time, the U.S.A. was a far more surefooted country with a solid history of stability. Describe two (2) countries today that share at least some of those same circumstances, and which one (1) seems in the better position.
- Even after “winning the Cold War,” thus proving the alleged superiority of the libertarian and capitalistic system, the United States of America finds itself facing a complex and somewhat unexpected economic situation that some speculate could lead to insolvency. Give your opinion on what would happen to the U.S. economy if major foreign creditors called our loans.
- Describe what national budget items you think the country should eliminate first if the “United States Empire” were to implode upon itself for financial reasons.
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