Paul Kennedy has written in the WSJ another sobering assesment of America’s fiscal decline relative to other nations. He is correct in his assessment and brutally honest. To be fair he also highlights the strengths America still has. It is these strengths, along with the hand of God, that forms the framework for our current standing in the world.

Kennedy explains that the world is buying our bonds to finance our incrasing deficits. The appetitie for those bonds is growing thin. China will buy a lot of the Obama bonds coming up but for how long? In World War II Americans dug into their own pockets to finance the war debt–there was no one else to buy them. Today, Americans don’t have the savings to finance their debt. We have turned to China and Saudi Arabia to do that for us.

The day is coming when that will end.