Whenever I hear about economic policies in the West, be it the draw-out Greek rescue, or the US policies (of the socialist-lite Obama administration): "... eventually, you run out of other peoples money". That, of course, is the problem with socialism, according to Margaret Thatcher. A very steep price in lives has been paid to observe the historical veracity of this phase. The juxtaposition of the moral and fiscal hazards is not merely cynical, it's insightful. For example, USSR ran out of moral justification for the one-party rune long before it's financial collapse.
I see the same fate befalling countries in the West, as the slide off towards greater 'collectivization', such as the increasing EU control over the Greek economy as a price for the second bailout. U.S. has also been sliding in the socialist direction. U.S. has recently surpassed 100% debt-to-GDP ratio.
The U.S. debt may exceed $16.4 trillion debt ceiling before the 2012 presidential election. Politico.com characterized this scenario in an article "Debt doomsday may come sooner than expected". However, with various accounting tricks, the U.S. Treasury could delay the absolute deadline until February 2013. Charles Krauthammer recently called Obama the lawless president, and the Obama administration will undoubtedly do everything legal and semi-legal to try to avoid face the reality of its unsustainable largess. Meanwhile, the U.S. external per capita debt exceeds that of Greece, for example, and is the highest in the West.
Regrettably, the U.S. is at a point, where a painful debate about the ethics and finances of government largess before the 2012 elections is the best medicine we can hope for.