Posted on 01/13/2013 8:20:34 AM PST by whitedog57
How bad is the USA’s debt problem (as we approach the dreaded debt ceiling debate)?
Federal government debt held by the public surged starting in Q2 2008.
But since Q2 2008, government debt held by the public surged 113%. But real GDP growth over 4+ years was a measly 2.6%. That’s not annual real GDP growth, but real GDP growth over 4+ years!
Most people don’t talk about government debt held by the public. Instead, they focus on Total Public Debt, the one that stands at $16,432,692,129,510.84
While not as dramatic as Federal debt held by the public, it is still outrageous. Total Public Debt grew by “only” 69.26% since Q2 2008.
An M2 Money Velocity keeps sinking like The Titanic.
And if we look at Total Public Debt as a percentage of real GDP, we get this sickening chart.
And since the Federal government has so little interest (whether the Administration or Congress) in actually stemming the tide of out of control spending, we are looking at a bad ending. Particularly since President Obama told John Boehner that government spending ISN’T a problem.
According to USDebtclock.org, each taxpayer’s share of the Total Public Debt is $145,737. And each taxpayer’s liability for unfunded entitlements is $1,083,342. And growing!
The solutions other than cutting spending? 1) Creating inflation to devalue the debt (who thinks of these horrendous ideas) 2) default on the debt (didn’t work to well for Argentina) and 3) “As long as real GDP growth is equal to or faster than debt growth, there is no problem!” (I would say that 113% debt growth is higher than 2.6% real GDP growth).
So, I watch in horror as people like Nobel Laureate Paul Krugman approve of bypassing The Constitution (and Congress) and minting trillion dollar platinum coins as a solution to the debt ceiling.
That should tell you how bad the debt problem really is. Krugman and Obama are going full Zimbabwe.
Hey, Zimbabwe even topped Paul Krugman … and Dr. Evil!
As if Republicans don't humiliate themselves enough already.
“Each US taxpayer’s share of the Total Public Debt is $145,737”
$145,737.00? Really? I had no Idea that a welfare state
would be so expensive. And I have absolutely nothing to
show for this debt. Now I know why they have to disarm us.
So they can collect on this debt. The most cowardly of all
theft, government.
No problem. When they devalue our currency this $145,737 will only be $5.00, so problem solved.. Of course, all of your savings will be worth nothing, but this is all good too, as it will ‘level the playing field’ and make everything ‘fair’. Actually, I have zero doubt that there are plenty associated with and/or in this administration who would absolutely favor an all out confiscation and redistribution of all wealth (except theirs, of course).
Worse is the accumulated unfunded mandates
Medicare, Social Security, Medicaid
Total US Unfunded Liabilities Per Person $390,892
Total US Unfunded Liabilities Per Household $1,012,410
Can’t we just tax the rich or mint a quadrillion dollar platinum coin or just call up Visa and raise our credit line? How can there be no money in the account? I still have checks left in my checkbook?
Can’t we just tax the rich or mint a quadrillion dollar platinum coin or just call up Visa and raise our credit line? How can there be no money in the account? I still have checks left in my checkbook?
It's called Pauperizing the Middle Class
Does that mean that if I stop paying taxes, I don’t “owe” anything?
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