IS U.S. DEBT JUNK?

"If you missed this segment on CNBC today it’s worth taking a look. Michael Pento, the very vocal gold bug, is debating whether or not the USA is essentially insolvent (we all know my positions here – deflation remains the greater risk and the USA is certainly not bankrupt). He makes all the classic inflationista arguments while always making sure to point out that gold has been rising. What he fails to actually do is exactly what he accuses Erin Burnett of not being able to do – justify his argument. Pento claims that the onus is on Erin Burnett to explain to the guest why she doesn’t believe a particular position. Erin rightly corrects Pento and reminds him that he is the guest and she is merely the moderator. So, of course, the onus is on Pento to prove why the USA is insolvent...."