Bill Walker
2008 & 2009: http://www.fdic.gov/bank/in...
US Failed Banks 2009, http://bit.ly/2BolJp
national debt,
the last fifty years.
$1.7 trillion,
projects
100 percent GDP
Peter Schiff, president of Euro Pacific, has compared our national debt to a Ponzi scheme similar to that of Bernard Madoff. Schiff is not the only one making this claim. Earlier this year, Nouriel Roubini, one of America’s leading financial experts, used the same metaphor when writing in Forbes. The title of his article wasThe United States of Ponzi. Wrote Roubini:
“A government that will issue trillions of dollars of new debt to pay for this severe recession and socialize private losses may risk becoming a Ponzi government if – in the medium term – it does not return to fiscal discipline and debt sustainability.”
interview
To begin with, the $55 trillion figure we gave above is a conservative one. There are many who think that the amount of implicit obligations inherent in Medicare,Social Security and Medicaid is far higher. One of them is Richard Fisher, President of Federal Reserve Bank of Dallas, who estimates that the number is well over $100 trillion. This is what Fisher said last month at the 55th Annual Meeting of the North Dallas Chamber of Commerce:“Our fiscal predicament is compounded by the embedded unfunded liabilities of Social Security and Medicare. By our calculation at the Federal Reserve Bank of Dallas, the present value of the unfunded debt of these two entitlement programs has reached $104 trillion, with $88.9 trillion of that due to Medicare alone.”
There exists no plausible scenario under which our federal government could meet its liabilities. Burdened with growing obligations it cannot fulfill, the government is dragging the country toward fiscal ruin. And no one in a position of power can answer the $66 trillion question: Where will America get all that money?
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