Sunday Buffet the investor said on his talk show that 16 trillion is better
shape than USA was after the second world war.Our nation generates a
GDP of $50,000 for every man woman and child.At 70-100 trillion the
same cannot be said.We the people are living beyond our means
I asked a friend about this cash accounting stuff yesterday at church. He works
for a big accounting firm and has been with them for ten + years.He said,
"I don't know. There is special training for accountants who do
government work. I haven't been involved in that since I took my
exams."He wasn't a bit surprised or worried.Frankly, that
Politicians have long pursued mild inflation as national monetary policy. The
objective? Inflate the debt away. Inflation reduces of the value
of money. It is why bread is $5.00 a loaf instead of $0.50. It is why a new
Mustang in 1965 could be bought for about $2000. Now a new Mustang (base model)
is just over $20,000. It is why an entry level home built in the 60's is
worth ten times what it went for back then. Inflation makes
incurred old debt worth less and less and less.That's how
politicians believe the debt will vanish. Shrink it with the genie of
inflation. But once out of the bottle, the genie of inflation is called upon
bring us ever more benefits until the resulting inflation grows so large that
business cannot be conducted and the economy collapses. But out of
that collapse, a new economy will rise. It always does. If we are wise, we
will prepare for it by leaving Babylon a little before the airport closes. We
can do that by beginning now to love God more than money. And loving our
neighbors more than money. And loving our families more than money.
About time the media starts reporting this. The real story is the
"make believe" world politicians have sold to our ignorant society. I
have been auditing both private and governmental entities for over a decade. The
fact the debt is really closer to 70 trillion is well known by those with a
financial background. Social security is a Ponzi scheme of enormous
proportions and would be against the law if ran by a private company or
individual. A person pays in 100k over his life, then receives a
"return" of 400k later. This system would go broke unless you keep
adding people to the scheme who will get their "return" later as you add
more people and pretend this is a "return", when it really is someone
else's "principal". The only investment this "fund" invests
in is its own issued securities. - treasury notes and bonds. (I.e. the federal
govt is loaning itself money from our social security funds. Despicable, irresponsible and really quite stupid. ...and there are even
deniers... More ridiculous than flat-earthers, Birthers, and those who deny
While some would like to turn this into a partisan issue, the hard truth is that
both parties have contributed to this enormous, enormous problem--even our
beloved Reagan helped.However, what makes this even worse is a
president who has said, and this is a quote, "We don't have a spending
problem." What kind of person doesn't understand debt and its
consequences?Thank you, Mr. Schultzke, for a great article. My main
issue with your editors is this--why wasn't this a headline in a Sunday
paper instead of being (almost) buried in a Saturday edition? (At least it was
on the front page.) The entire nation needs to understand how serious this is
and start preparing at the individual/family level for a major economic
crisis.PS For a Certified Public Accountant's take, check out
the AICPA's official website.
Regan tripled the national debt. Bush Doubled the national debt. Obama...has done neither to date. If you are ignoring these
facts, you are only lying to yourself.
But you won't pay the debts, made sure Romney ran on never cutting
medicare, You won't cut the military and you would cry if Obama ever cut
your SS check.Buy more guns is your answer to everything.
Sad thing is, your average American has no concept - none at all - what $80
trillion means. It means that every man, woman and child in the US owes about
one quarter of a million dollars in benefits that the government has spent or
promised but has no way of paying. That's a million dollars per household
of four. And that doesn't count what the states and cities owe.How does your average household pay off a million dollar debt? The US
government can't either...
If our outgo exceeds our income, then our upkeep will prove our downfall.Debt is abuse. Debt usurps our future. Debt is despotism."... when a long train of abuses and usurpations, pursuing invariably the
same Object evinces a design to reduce them under absolute Despotism, it is
their right, it is their duty, to throw off such Government, and to provide new
Guards for their future security..." US Declaration of Independence.Tough words by brave patriots. Do we hear them anymore?
The community organizer has everything under control so why worry?
The unfunded liabilities are like a black hole. It will suck everything we have
or ever will have into it. The amount has been estimated between $80 trillion
and $222 trillion. The amount is basically incomprehensible and cannot be payed.
Bottom line: default is inevitable.
If you would like to consider a list of Presidents who have increased the total
federal debt it is actually fairly easy. The last time the total federal debt
went down instead of up was 1957, when Dwight D. Eisenhower was President. Every
President since then has seen the total federal debt go up instead of down.I compiled a list of every year (and President) in U.S. history that the
total federal debt went down. I attempted to link to that list, but comment
moderation didn't approve it.
It's silly to project out debt based on planned expenses and zero revenue.
ETB-Bush and Chenney are responsible for medicare and social
security? Give me a break. All are responsible, especially congress who is
suppose to BUDGET and spend the money. The federal government is too big!
@Ernet T. BassWho ever denies that?The point is that O
has taken something bad, and made it *much worse*.Do you believe O
should have a free ride because of other bad policies in the past?If
you're being objective you sure won't!
Before we get a bunch of posters putting this entirely on President Obama, if
you are being objective you have to admit that bush/cheney and their taxing
& spending policies are responsible for a large portion of this debt.