American Reality Check

benjamen

Yellow Jacket
Messages
1,620
Reaction score
0
Points
0
Location
Migratory
It is bad when even the mainstream news is noticing:
http://www.usatoday.com/news/washington/story/2012-05-18/federal-deficit-accounting/55179748/1

"By law, the federal government can't tell the truth," says accountant Sheila Weinberg of the Chicago-based Institute for Truth in Accounting.
:rotflmbo:

"Federal debt and retiree commitments equal $561,254 per household. By contrast, an average household owes a combined $116,057 for mortgages, car loans and other debts."
:flushed:
 

benjamen

Yellow Jacket
Messages
1,620
Reaction score
0
Points
0
Location
Migratory
Related article:
http://www.thefiscaltimes.com/Colum...rica-Should-Declare-Bankruptcy-Now.aspx#page1

"If the U.S. government were a private company being audited by standard practices, it would be considered much further in the red than official national debt figures show. It would, in fact, be shut down and its key executive prosecuted for fraud. "
:rotflmbo:

"But the $15 trillion actually represents the tip of a very large iceberg. When off-budget and contingent liabilities are factored in, total federal liabilities exceed $100 trillion."
:giveup:
 

pmbug

Your Host
Administrator
Messages
7,540
Reaction score
48
Points
203
Location
Texas
They will as soon as they recognize that inflation has gotten that bad.
 

69mach351

Predaceous Stink Bug
Messages
179
Reaction score
0
Points
0
Location
In the middle
They will as soon as they recognize that inflation has gotten that bad.
That is definitely a concern. Giving everyone more money, only de-values it and makes prices go up (which I am guessing is why most people are here) :wave:
 

benjamen

Yellow Jacket
Messages
1,620
Reaction score
0
Points
0
Location
Migratory
Amazing that this stuff is showing up in the news in other countries:
http://www.news.com.au/business/mar...r-than-you-think/story-e6frfm30-1226393783077

This is why interest rates will not be allowed to rise:
"If interest rates go up by simply three per cent over the next decade, the additional cost to the Treasury, just for interest payments, would equal the peak combined cost of the wars in both Afghanistan in Iraq,"


"If you look at the interest payments going to foreign countries, soon we're going to be spending enough to essentially finance the Chinese military,"
 

69mach351

Predaceous Stink Bug
Messages
179
Reaction score
0
Points
0
Location
In the middle
Amazing that this stuff is showing up in the news in other countries:
http://www.news.com.au/business/mar...r-than-you-think/story-e6frfm30-1226393783077

This is why interest rates will not be allowed to rise:
"If interest rates go up by simply three per cent over the next decade, the additional cost to the Treasury, just for interest payments, would equal the peak combined cost of the wars in both Afghanistan in Iraq,"


"If you look at the interest payments going to foreign countries, soon we're going to be spending enough to essentially finance the Chinese military,"
We just keep digging the hole deeper.

I am all about helping others out, but we need to fix some of our problems as well.
 

benjamen

Yellow Jacket
Messages
1,620
Reaction score
0
Points
0
Location
Migratory
And this is why we are losing the economic battle:
http://www.businessinsider.com/you-cant-engineer-your-way-around-americas-corporate-tax-rate-2012-6

"Big companies make a lot of money in foreign countries, but if they bring the profits back home they get hit with the world’s highest corporate tax rate. So they leave the money in China, for example, and then invest it there in research and development or a new factory. I.e., our own multinational companies are financing the new facilities around the world that are rendering the U.S. uncompetitive.

A new enterprise, meanwhile, would be facing a choice between China, with a 15 percent corporate tax rate, proximity to all kinds of suppliers, and low costs, and the U.S., with a 35 percent tax rate (plus any state corporate income tax) and an ocean separating it from most component vendors."


"[I was a bit skeptical of the message that high costs and taxes explain the U.S. decline. After all, Germany has high costs for everything and Europeans are famous for high tax rates. Yet Germany is wonderfully successful in manufacturing. Then I looked up the corporate tax rate in Germany and it turns out to be 15%, the same as China's.]"
 

benjamen

Yellow Jacket
Messages
1,620
Reaction score
0
Points
0
Location
Migratory
I didn't think this kind of article was allowed:
http://finance.yahoo.com/blogs/dail...RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3

"We are living in a modern day depression,"

"This dramatic statement is based on several factors, including the record number of Americans living on Food Stamps — 46 million or 1-in-7 in 2011"

"nearly 30% of mortgage holders under water"

"cites the "real" unemployment rate — currently 14.8% -- and the fact the country is still down 5 million jobs from its 2007 peak."

"Three years into the aftermath of the worst recession since the 1930s, the global economy still cannot manage to expand organically — that is, without the need for ongoing life support from central banks and governments."

:flushed:

Edit: it is interesting that there is no comment section for this article....
 

benjamen

Yellow Jacket
Messages
1,620
Reaction score
0
Points
0
Location
Migratory
The effects of taxpayer paid welfare programs:
http://cnsnews.com/news/article/stu...llars-spent-welfare-poverty-levels-unaffected

“The vast majority of current programs are focused on making poverty more comfortable … rather than giving people the tools that will help them escape poverty.”
:rotflmbo:

"In fact, the study points out that according to the administration’s own projections, federal welfare spending is unlikely to decline even after the economy recovers – further evidence that not all of the increase in spending is recession-related."
:rotflmbo:

"It would make sense therefore to shift our anti-poverty efforts from government programs that simply provide money or goods and services to those who are living in poverty to efforts to create the condi*tions and incentives that will make it eas*ier for people to escape poverty."
 

ancona

Praying Mantis
Messages
3,370
Reaction score
1
Points
0
Location
Waaay south
We have been living through a depression for three years now. The only thing keeping "Hoovervilles" or mor appropriately, "Obamavillages" from popping up is welfare and food stamps. Period. The largest surge in disability applications in the history of social security has happened over the last 30 monthsw. More people are on food stamps than in our entire history, and the number breaks a new record every month. The number of people falling off the 99 week cliff is the only thing keeping the "official" unemployment number below 17%. I could go on and on.......but I won't.

I will however, state unapologetically, that I am very nearly completely debt free, and if it all crashes and burns tomorrow, I believe myself to be prepared enough top survive a multi-year, protracted climb out of hell.
 

benjamen

Yellow Jacket
Messages
1,620
Reaction score
0
Points
0
Location
Migratory
Related article on the war on poverty:
http://thenewamerican.com/usnews/co...verty-$15-trillion-and-nothing-to-show-for-it

"Fifteen trillion dollars: That’s how much American taxpayers have forked over in the name of helping the poor since 1964. And what do we have to show for it? A poverty rate that has barely budged, an entrenched bureaucracy, and a population — like that of Greece and Portugal, two welfare-state basket cases — increasingly dependent on government handouts."

“Government spends $20,610 for every poor person in America, or $61,830 per poor family of three,” Tanner reports. “Given that the poverty line for that family is just $18,530, we should have theoretically wiped out poverty in America many times over.”

:popcorn:
 
Top