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$78.8 Trillion; United States Debt Obligations exceed world GDP; Monetary Collapse Looming?

How in the world are we going to pay off all of this debt? Raising taxes to do it would burden our economy, and then the situation would only get worse. To me the solution is obvious, cut spending.

For too long in this country we’ve had the give-me-stuff people standing there with their hand out, and the government putting something in it. Does the idea of small government ring a bell? It is what our founding Fathers had in mind when they gave us our constitution. That is why there is a list in the constitution that quite clearly spells out the powers of the federal government, and also what it is not allowed to do. So basically if it was not listed as a power, then they are to stay away from it, and allow the States to handle it.

Just take a look at federal laws. At the very beginning they will state their authority in enacting the law, and it is almost always the commerce clause. I’m sure they even think that just because your computer is hooked up to the internet, and therefore has contact with other computers in other States, that they then would have the constitutional right of regulating your computer, and thereby your internet communications; they are out of control.
jbranstetter04

Federal obligations exceed world GDP
Does $65.5 trillion terrify anyone yet?

As the Obama administration pushes through Congress its $800 billion deficit-spending economic stimulus plan, the American public is largely unaware that the true deficit of the federal government already is measured in trillions of dollars, and in fact its $65.5 trillion in total obligations exceeds the gross domestic product of the world.
The total U.S. obligations, including Social Security and Medicare benefits to be paid in the future, effectively have placed the U.S. government in bankruptcy, even before new continuing social welfare obligation embedded in the massive spending plan are taken into account.
The real 2008 federal budget deficit was $5.1 trillion, not the $455 billion previously reported by the Congressional Budget Office, according to the “2008 Financial Report of the United States Government” as released by the U.S. Department of Treasury.
The difference between the $455 billion “official” budget deficit numbers and the $5.1 trillion budget deficit cited by “2008 Financial Report of the United States Government” is that the official budget deficit is calculated on a cash basis, where all tax receipts, including Social Security tax receipts, are used to pay government liabilities as they occur.
But the numbers in the 2008 report are calculated on a GAAP basis (“Generally Accepted Accounting
Practices”) that include year-for-year changes in the net present value of unfunded liabilities in social insurance programs such as Social Security and Medicare.
Under cash accounting, the government makes no provision for future Social Security and Medicare benefits in the year in which those benefits accrue.
“As bad as 2008 was, the $455 billion budget deficit on a cash basis and the $5.1 trillion federal budget deficit on a GAAP accounting basis does not reflect any significant money [from] the financial bailout or Troubled Asset Relief Program, or TARP, which was approved after the close of the fiscal year,” economist John Williams, who publishes the Internet website Shadow Government Statistics, told WND.
“The Congressional Budget Office estimated the fiscal year 2009 budget deficit as being $1.2 trillion on a cash basis and that was before taking into consideration the full costs of the war in Iraq and Afghanistan, before the cost of the Obama nearly $800 billion economic stimulus plan, or the cost of the second $350 billion in TARP funds, as well as all current bailouts being contemplated by the U.S. Treasury and Federal Reserve,” he said.
“The federal government’s deficit is hemorrhaging at a pace which threatens the viability of the financial system,” Williams added. “The popularly reported 2009 [deficit] will clearly exceed $2 trillion on a cash basis and that full amount has to be funded by Treasury borrowing.
http://www.worldnetdaily.com/index.php?fa=PAGE.view&pageId=88851

Duration : 0:1:41

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Posted by admin - December 8, 2011 at 3:28 am

Categories: monetary collapse Tags: budget, Collapse, Debt, deficit, depression, exceed, Future, GDP, hyperinflation, Monetary, Obligations, policy, recession, shorfall, States, taxes, Trillion, United, world

The Financial Crisis

The Financial Crisis – The Government`s Response and Next Steps

Panelists include Henry Kaufman, President of Henry Kaufman & Company, Inc.; Peter R. Fisher, Managing Director, Co-Head, Fixed Income Portfolio Management Group BlackRock, Former Under Secretary of the U.S. Treasury for Domestic Finance; Harvey J. Goldschmid, Dwight Professor of Law, Columbia University, Former Commissioner, U.S. Securities and Exchange Commission; Charles Calomiris, Henry Kaufman Professor of Financial Institutions, Columbia Business School; Moderated by Merit E. Janow, Professor in the Practice of International Economic Law and International Affairs, School of International and Public Affairs

(Mar 4, 2009 at Columbia University, School of International and Public Affairs (SIPA))

Duration : 1:28:38

1 comment - What do you think?
Posted by admin - November 11, 2011 at 11:22 pm

Categories: financial crisis Tags: academic, administration, bailout, banking, Columbia, Crisis, economy, finance, financial, governance, lectures, politics, recession, sipa, uchannel

The Federal Reserve is Engineering the Economic Collapse

Audio deleted because of a Dark Knight copyright claim.
To most Americans, the Federal Reserve is just another name on their dollar bill. They don’t know that this secretive private bank controls America’s entire economic system. The Federal Reserve is no more federal than Federal Express. Created when most politicians were on vacation in 1913, the Fed prints money out of thin air and loans it to the U.S. treasury at interest. This can only lead to one outcome: debt. Currently, the Federal Reserve is printing billions of dollars to bail out Wall Street while destroying the middle class and the dollar. If our country wants a sound and transparent monetary system, we need to phase out the Federal Reserve system giving power back to the U.S. treasury.