It is true that China is the largest foreign owner of our debt,” said Josh Gordon, policy director of the Concord Coalition, a Virginia-based nonprofit that advocates getting the nation’s debt under control. “But the vast majority of our debt is held by us.” . . .
Gordon has a theory for why China gets blamed for doing little more than investing in the U.S. and allowing us to stave off the day of financial reckoning.
“If you look 10 or 15 years back, they probably weren’t in the top five,” Gordon said. “Then you had this very large country whose economy suddenly grew a pace not normally seen, and that came just as we were going into a cycle of massive deficit spending.
“Honestly, if it had been Great Britain, instead of a country with a record of human rights violations and one that has not been a traditional ally of ours, you might not have heard as much about it.”