Whatever future developments may prove to be, my best guess is that the U.S. will continue to maintain a façade of Constitutional government and drift along until financial bankruptcy overtakes it. Of course, bankruptcy will not mean the literal end of the U.S. any more than it did for Germany in 1923, China in 1948, or Argentina in 2001-2002. It might, in fact, open the way for an unexpected restoration of the American system -- or for military rule, revolution, or simply some new development we cannot yet imagine.

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[O]n March 16, 2006, Congress raised the national debt limit from $8.2 trillion to $8.96 trillion. This was the fourth time since George W. Bush took office that it had to be raised.

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Among the creditors that finance these unprecedented sums, the two largest are the central banks of China (with $853.7 billion in reserves) and Japan (with $831.58 billion in reserves), both of which are the managers of the huge trade surpluses these countries enjoy with the United States.

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For the sake of their own domestic employment, both countries lend huge amounts to the American treasury, but there is no guarantee of how long they will want to, or be able to do so. Marshall Auerback, an international financial strategist, says we have become a "Blanche Dubois economy" (so named after the leading character in the Tennessee Williams play A Streetcar Named Desire) heavily dependent on "the kindness of strangers." Unfortunately, in our case, as in Blanche's, there are ever fewer strangers willing to support our illusions.

So my own hope is that -- if the American people do not find a way to choose democracy over empire -- at least our imperial venture will end not with a nuclear bang but a financial whimper. From the present vantage point, it certainly seems a daunting challenge for any President (or Congress) from either party even to begin the task of dismantling the military-industrial complex, ending the pall of "national security" secrecy and the "black budgets" that make public oversight of what our government does impossible, and bringing the president's secret army, the CIA, under democratic control. It's evident that Nemesis -- in Greek mythology the goddess of vengeance, the punisher of hubris and arrogance -- is already a visitor in our country, simply biding her time before she makes her presence known.