This does not explain why USA generates a trillion Dollars of fresh government debt every 15 months.

China has very little to do with the lack of fiscal discipline in USA. The Chinese GDP is not even 30% of U.S. GDP and net U.S. trade deficit, which is private sector debt, with China is about $200 billion a year. Brazilian exports to USA might be hurting (coffee, orange juice, timber, minerals) but iron ore prices (as Brazil is world's largest exporter) are up by more than 100% this year. Exports to non-U.S. markets from Brazil must be booming now!

Not necessarily, A. American debt to China has a lot to do with the undervalue of China's currency. If China's currency were valued the same way the dollar was, it would be skyrocketing. China's exports would become more and more expensive. China's imports would become cheaper and cheaper. But because China's currency is so undervalued (and the countries in debt to China are certainly not going to go off with economic sanctions against their creditor) all other world currencies who trade with China are affected.

The U.S. has basically been at the same place with China for a long time, even though Chinese exports are kept artificially cheap compared to American exports. Trust me, if this was wholly America's fauly, Miriam would let us know.

I'm not saying our increasing federal debt isn't going to effect the U.S. economy. Actually, you'll see it a lot more if America keeps up the trend without paying off its debt. Once those interest rates and payments catch up with the American government, you'll REALLY see the dollar fall. Hopefully the next President in office won't be so naive as Bush.