We agree. But it's in everyone's best interest that we preserve that confidence and belief. Which I believe is a large part of why stimulus spending is being and has been used.You probably know all the economic mechanics and principals involved; I didn't really need to explain it - I just wanted to state it in terms about what both coins are based on: CONFIDENCE and BELIEF - and those are very fragile supports upon which economic systems depend and can disappear pretty damn fast, and have done so, and neither government nor central bank policies and actions are doing much to bolster them.
It's also worth noting that whilst the average debt of US citizens continues to grow, that debt is largely what allows our economy to continue chugging along. And considering that a majority of our economy appears to be based in consumerism - which is largely supported by increasing consumer debt - and much of the US jobs market is also based in consumerism and the service industry; the sustainability of the current economy seems less than certain.
Basically, we can't (as a society) continue to spend more than we make, in order to buy goods and services that provide the jobs we work, that promise the lenders a return on the money we borrow to fuel the economy and supply those same jobs.
It seems like that's a much bigger threat to our economy than the national debt. But perhaps I'm missing something.