I don’t know what else to say about THIS, except “Well, Duh!”
To follow Krugman’s allegory, if you send all the potential for growth overseas, lock in wages to a miserable dribble, and transform whatever production we do have, into high flying bogus financial instruments that disappear into the night, well then yeah, debt becomes a problem because we don’t have real growth.
Now, if he can just get a few other “Financial Solons” to grok this concept. Or, maybe, that was the point.
Grab and Keel 