Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
The actual liabilities of the federal government—including Social Security, Medicare, and federal employees' future retirement benefits—already exceed $86.8 trillion, or 550% of GDP. For the year ending Dec. 31, 2011, the annual accrued expense of Medicare and Social Security was $7 trillion. Nothing like that figure is used in calculating the deficit. In reality, the reported budget deficit is less than one-fifth of the more accurate figure.
Republicans and Democrats spent last summer battling how best to save $2.1 trillion over the next decade. They are spending this summer battling how best to not save $2.1 trillion over the next decade.
In the course of that year, the U.S. government’s fiscal gap -- the true measure of the nation’s indebtedness -- rose by $11 trillion.
The fiscal gap is the present value difference between projected future spending and revenue. It captures all government liabilities, whether they are official obligations to service Treasury bonds or unofficial commitments, such as paying for food stamps or buying drones.
As interest rates from the high interest bonds from the 1980s mature -- replaced by low interest bonds, the amount spent on interest has been declining -- even though total debt is rising.
...
Wait until this artificially lowered interest rates go up, then our new 0bama debt and liabilities will start to strangle us. It's unsustainable, but 0bama's kids will be just fine, even if the economy tanks.
Remember, bond interest is at the rate it was originally lent, not prevailing rates. The old bonds will still be at 1-2%.
If rates rise, it will mean the economy is humming along and the deficit will be small -- which means borrowing will be minimal.
My god the utopia world that you must live in...
Borrowing wont be a minimum IF THE DAM INTEREST RATES RISE.. The fact that they are only 1-2% doesnt mean that bonds dont retire daily and need reissued
[b]The actual liabilities of the federal government—including Social Security, Medicare, and federal employees' future retirement benefits—already exceed $86.8 trillion, or 550% of GDP. For the year ending Dec. 31, 2011, the annual accrued expense of Medicare and Social Security was $7 trillion. Nothing like that figure is used in calculating the deficit. In reality, the reported budget deficit is less than one-fifth of the more accurate figure.
Those aren't CURRENT liabilities, they're FUTURE liabilities paid from future revenues. To cover all the future Social Security beneficiaries, you don't have to have that money now.
To be fair, we can cancel SS payments and medicare subsidies anytime we wish, there isn't any guarantee or right to those programs.
There is that, and it's a faint but nagging, conspiracy theory, that the plan is to force everything to implode, crash the system, and dump Medicare and Medicaid and replace with a top down, authoritarian, government run universal health care, and dump social Security by stealing all our 401K and other private retirement plans. It would explain why 0bama and the dems could give a rat's ass about saving any of those three programs.
Those aren't CURRENT liabilities, they're FUTURE liabilities paid from future revenues. To cover all the future Social Security beneficiaries, you don't have to have that money now.
Those aren't CURRENT liabilities, they're FUTURE liabilities paid from future revenues. To cover all the future Social Security beneficiaries, you don't have to have that money now.
What a dolt..
ALL of that money needs to come from future taxpayers which reduces future GDP growth.. You are now saying exactly what the hell you've been telling me I'm wrong about for years.. One day you'll get it, if you can get your ass away from talking points and think for yourself.
Borrowing wont be a minimum IF THE DAM INTEREST RATES RISE.. The fact that they are only 1-2% doesnt mean that bonds dont retire daily and need reissued
"I've got charts and graphs!!! See!!!!! We can finally have our Utopia."
Do you just type the nonsense stream that comes to mind at the moment? The CBO said why it is coming down, more revenues.
Yes, which is exactly what democrats have wanted along and which republicans have been denying. Now as I see it, that makes the deficit run up during President Obama's administration the republicans fault.
Actually, the deficit tends to large in the beginning of the calender year than it is later. That's because the government is issuing income tax refunds in January through May. Also, the sequester is taking effect, which reduces federal expenses. And the government is expected to receive dividend payments from Fannie and Freddie. Fannie Mae, Freddie Mac to help cut deficit - May. 9, 2013
The sequestration alone was suppose to break the economy's back. $600 billion in lost economic activity should decimate the US economy then, huh?
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
