Wednesday, February 16, 2011
How Deep Is Our Debt Hole?
Please read and click on all elements of this multimedia post by Donald Sensing, which begins with the vid above.
Note that even these numbers cited in the Sensing post are conservative, given that Dallas Fed President Richard Fisher estimated aggregate unfunded FedGov liabilities in May, 2008 (i.e., pre-TARP, pre-Stimulus I and II, and pre-Obamacare) at $99.2 trillion:
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...No combination of tax hikes and spending cuts, though, will change the total burden borne by current and future generations. For the existing unfunded liabilities to be covered in the end, someone must pay $99.2 trillion more or receive $99.2 trillion less than they have been currently promised. This is a cold, hard fact. The decision we must make is whether to shoulder a substantial portion of that burden today or compel future generations to bear its full weight...
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For those of you who have not abandoned the effort to educate those who should be your allies, Sensing's post (and Fisher's speech) are excellent resources.
If you can get them to watch, absorb, and comprehend both the reality and the horrific, inevitable consequences.
We're falling with style, indeed.
Keep your feet, ankles, and knees together, with your eyes on the horizon, then commence your PLF upon impact.
There will be no do-overs.
Well, at least after the asleep population fails to execute a PLF and breaks their knees, we'll have a bit more elbow room.
ReplyDeleteThat landing is going to be...well, it'll bear strong resemblance to a female dog.
There's no way out of this but straight through it.
Resist.
AP
America forgave billions in debt that Third World countries borrowed from us for development. Wrote it off. Glad to help. Good luck, and welcome to the industrialized West.
ReplyDeleteWill even one Lilliputian come to Gulliver's aid now?
We're no longer a sovereign nation. We can't even equip our military with clothing and equipment made domestically. Textile mills are all gone. Domestic manufacturing of commo, electronics, and weapons....pretty much damn gone. Boots, boots of all things....being made "over there".
ReplyDeleteUntil we start manufacturing again and producing our own energy, we will NEVER get out of this debt. Never.
DAN
III
The question was posed: "Do we shoulder the burden now, or do we pass it on to future generations?" Obviously, The current crop of the GREAT UNWASHED will pass it on to the future serfs of America. The party will continue, because the mindset of the seniors, used to FDR'S patronage, the Boomers, who demanded sex, drugs, and rock&roll, and the Gen-Xers, who came of age during Clintonia. None will bite the bullet, the burden will be passed on to the educationally dumbed-down generations who will see more of their income conifscated and re-directed so Granny can have her electric scooter which "...didn't cost me a thing out-of-pocket!"
ReplyDeleteResist!? How? Those who try will have to go deep underground and run the risk of being snitched off by their own loved ones. The monied class will already have their retreats in Costa Rica and elsewhere. Get ready to live in Hell.
Well it is even worse than that...much worse. Let's talk derivatives. Lets talk about what happens if interest rates go up...ask Met Life about that.
ReplyDeleteCoffin corner, interest rates are as low as they can be which will explode our currency, and they cannot be brought up at all or all the companies that used derivatives as hedges will blow up...which means nearly every big bank, insurance company or what not in the world.
Gotta love those Harvard educated types...takes a real genius to screw things up this bad.
PLFs are fine if you have a parachute.
ReplyDeleteWe don't.
The Marianas Trench is a mere pothole by comparison.
ReplyDeleteJon III
Deep enough to bury a Elephant if these elephants don't do something about it.
ReplyDeleteDennis
III
Texas