There are enough indications that the US economy is not out of the woods yet. There are quite a few people who are waiting for recovery with bated breath, as well as lots of expectations. But then there seem to be clouds looming on the horizon, which indicate that all is not so well with the world and also the US economy. For one, the Greek economy seems to be going under, with its public finance in doldrums. There are many concerns that like Greece, Spain and Portugal, if the US economy is unable to keep its debt payments and obligations, things could get very ugly indeed. But it seems as if the Obama admin is at pains to convince everyone that the US economy is not going to renege on its debt commitments. The administration would have everyone believe that the US is a very creditworthy country, and keeps its commitments at any cost.
It seems as if not everyone is buying into these pronouncements and affirmations coming in from the US government. It is a fact that the US is very vulnerable due to its very huge debt levels that do not see any signs of abating. The US economy is as huge as $14.25 trillion as of last year. The budget deficit stood at around $1.4 trillion, or almost 10% of the GDP. These are not very healthy signs.