As much as we can complain about the damage done, this is also a great opportunity for the US to make some changes which the world will support. I have no reason for optimisim, but reality can force good changes. 12 years ago, I was nearly bankrupt and in a downward spiral. Some good advice I was given lead to a major change in how I managed money and lived my life. I paid off my creditors (albiet only 25 cents on the dollar), and walked away from a money losing project, and changed some other things.

Within 6 months, as the new "structures" took shape, I felt new optimism and began a real growth phase. So my personal anology that to bottom out once in a while may be very good, and it's worse in the last phase of avoidance. US has been in denail and avoidance, but once it accepts that changes must be made, and take responsibility as well, it can really lead to a good phase.

I think that economists may agree that the phase after the "nadir" is the time for optimism and creativity to flourish.

Are we there yet? Well, a few months away perhaps. We still have to break the current system. (it's toppling, headlong into the brick wall, but not yet broken!).

SKELEG