Starving Spain, Part II

In a previous post, I wrote about what was going to happen to other nations as the United States fell into an orgy of porkulism.

If you think there isn't a lot of money out there to borrow right now, just wait until Mr. Hope and Change and his Congress get started. They're going to gorge themselves on money desperately needed by countries like Spain.

It's starting.

DAVOS, Switzerland — Even as Congress looks for ways to expand President Obama’s $819 billion stimulus package, the rest of the world is wondering how Washington will pay for it all ...

(T)he long-term fallout from increased borrowing by the United Stated government, and its potential to drive up inflation and interest rates around the world, seems to getting more attention here than in Washington.

“The U.S. needs to show some proof they have a plan to get out of the fiscal problem,” said Ernesto Zedillo, the former Mexican president who helped steer his country through a financial crisis in 1994. “We, as developing countries, need to know we won’t be crowded out of the capital markets, which is already happening.”

Hey, Zedillo, just chill. The One has all the answers. Or something like that.

(E)ven supporters of the plan like Mr. Zedillo and Stephen Roach of Morgan Stanley have called on the White House to quickly address how it will pay for the spending in the long-term.

“It’s huge,” Mr. Roach, the chairman of Morgan Stanley Asia, said. “President Obama has now laid out a scenario of multiyear, trillion-dollar deficits.”

The stimulus is widely expected to pass, but once it does, Mr. Roach said the focus would shift to “who foots the bill and what is the exit strategy. We don’t have the answer to either question.”

There is no answer but massive pain later on. We are refusing to pursue austerity and thrift right now so the bill we pay later will be colossal.

I get the feeling I'll be using this graphic a lot in the future.