America’s $123 Trillion In Unfunded Liabilities: Forgive The Debt Now!

Most Americans know that our nation is spending more than it is taking in (the deficit).

Though many on the Left do not seem to understand (or care about) the consequences of out of control spending, most Americans do know that the nation has America has over $16.5 trillion in debt–or, nearly $53,000 of debt for every man, woman and child.

Democrat Harry Reid In ’06: Raising Debt Limit Is The Last Thing We Should Do. Video.
States Need To Fire The America Bashing Federal Government & Forgive The Debt: Rothschild Federal Reserve Has Quintupled Since Obama!

While $16.5 trillion of debt is clearly unsustainable, what is even more alarming is what we are not talking about:

The fact that, in addition to the $16.5 trillion of debt we currently have, every man, woman, and child in America also is on the hook for nearly $400,000 in unfunded liabilities–or, over $1 million for every household.

Though their numbers appear to vary slightly (not including the unfunded liabilities of ObamaCare, for example), in their November Wall Street Journal article, writers Chris Cox and Bill Archer explain the lack of knowledge about the unfunded liabilities as:

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.

Why haven’t Americans heard about the titanic $86.8 trillion liability from these programs? One reason: The actual figures do not appear in black and white on any balance sheet.

Icelandic Anger Brings Debt Forgiveness in Best Recovery Story (vaticproject.blogspot.com)

To be sure, the nation’s fiscal problems are a bi-partisan issue, caused by years of buying votes among specific constituencies. As a result, those constituencies are now entitled to the benefits which have yet to be paid for.

Today, while those politicians wrestle with Obama’s self-induced sequestration deal, (which slashes defense spending while barely nibbling at the fat that has become the national budget), no one wants to deal with the real issue at hand: Politicians in Washington have enslaved future generations with the costs of various entitlement programs.

Perhaps it’s time we raise it to their attention–seriously.
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“Truth isn’t mean. It’s truth.”
Andrew Breitbart (1969-2012)

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Tags: sequestration, unfunded liabilities

Red State

SAVE THE BANKS ~ SPREAD THE DEBT: Labor Force Participation Plummets by 63.7% ~ Government Food Stamps Increases To 46.5 Million Citizens ~ But Unemployment is only 8.3%? ~ Here’s His Trick!

Obama’s Web Of Debt: Its The Derivatives Stupid.

Icelanders who pelted parliament with rocks in 2009 demanding their leaders and bankers answer for the country’s economic and financial collapse are reaping the benefits of their anger.

Executives At Collapsed Iceland Bank Jailed For Fraud

Since the end of 2008, the island’s banks have forgiven loans equivalent to 13 percent of gross domestic product, easing the debt burdens of more than a quarter of the population.

The island’s steps to resurrect itself since 2008, when its banks defaulted on $85 billion, are proving effective. Iceland’s economy will this year outgrow the euro area and the developed world on average, the Organization for Economic Cooperation and Development estimates.

Iceland’s approach to dealing with the meltdown has put the needs of its population ahead of the markets at every turn. Once it became clear back in October 2008 that the island’s banks were beyond saving, the government stepped in, ring-fenced the domestic accounts, and left international creditors in the lurch. The central bank imposed capital controls to halt the ensuing sell-off of the krona and new state-controlled banks were created from the remnants of the lenders that failed.

“Europe can learn from Iceland”

Iceland’s special prosecutor has said it may indict as many as 90 people, while more than 200, including the former chief executives at the three biggest banks, face criminal charges. That compares with the U.S., where no top bank executives have faced criminal prosecution for their roles in the subprime mortgage meltdown. The Securities and Exchange Commission said last year it had sanctioned 39 senior officers for conduct related to the housing market meltdown.

Disinfo