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FT Alphaville: debt and dollar's demise

Over in London, at the FT Alphaville blog, they're talking about the US' federal debt (now $11.9 trillion or $38,000 per citizen) and the fact that we are fast approaching the point at which the government will once again have to raise its "debt ceiling" past the current $12.1 trillion mark.

More from Alphaville on the implications for the US dollar:

"...Fine, but what would an increased debt limit actually mean for the US
exactly?

Well, for a start it effectively `kicks the can’ of the debt problem to the next generation.
But it could also have more near-term implications — namely a massive effect on the US dollar — a currency already under pressure from the Federal Reserve’s unconventional monetary policies and journalists from The Independent...."
Will we see a dollar devaluation in the not-too-distant future? Read on if you're up for a rather dour view on the US' ability to deal with its "gigantic and excessive levels of debt".

Related articles and posts:

1. Reasons to raise the debt ceiling - James Altucher at WSJ.com

2. Killing the goose - John Mauldin at Goldseek.

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