October 21, 2008: Leach: U.S. could face Great Depression woes (Politico)

  • But what really has to be understood is, this is an unprecedented circumstance for the American people, and it relates to decades of spending far more than we’re producing. … You’ve heard this many times in your life from your father and your professors, that these twin fiscal and trade deficits, coupled with family borrowers and no savings, implied at some point there’s going to be the piper that has to be paid. And it could well be that that point has just occurred. And it could be that the rest of the world is going to simply stop financing America’s lack-of-saving culture — lack of savings in our culture. And every American family and our governments are going to have to understand this.