Can we spend beyond our means forever? Let's see, 31 trillion dollars times six percent is 1.86 trillion. That’s the interest on the nation debt. Add 5 trillion. Recalculate, now we are at 2.1 trillion in interest on the debt.
The real problem, taxes are not really covering what we are
spending. The National debt is funded by
banks that have money deposited in them.
This money is from retirement funds.
You have to admit that retirees have saved for retirement
for a lifetime and the money is there, they saved it. One problem, the banks have loaned the money
to the Treasury. I’m not sure of the amount,
but it must be between 31 trillion and 52 trillion.
It’s like Social Security, the money was collected and
borrowed from the fund to finance the debts of the federal government. There is
an IOU that’s declares, the money has been deposited to the SS fund. The
trouble is, it has been borrowed by Congress and has been spent.
Basically, we have to ask one question, “How can our
retirement and savings be there if it has already been spent?”
Technically it is there, because people only draw out small
amounts and the government can cover the withdrawals. The Ponzi scheme is getting some
sunlight. At what point does the house
of cards collapse?
The retiree is not going to draw out their whole retirement amount, the tax rates would
forbid it. But what if I told you, the
money wasn’t there for everyone, It has been spent and you will not be able to recover it.
The Weimar Republic in 1923 ruined the monetary system of
the German Republic. People’s savings were destroyed. History doesn’t remember much, but people
well off, were left with nothing, their savings were gone.
Old people were reduced to scrounging trash cans for
something to eat.
This could happen again only this time it will be in the
USA. It kind of sucks, doesn’t it?
4 comments:
Geez. And we were tempted to mock preppers.
Hi Sack
The preppers are planning for a disaster. A financial collapse is not the sort of disaster they are anticipating.
All of a sudden, you have no money to pay for anything. You have your house, your car, nothing has been destroyed. Your savings are gone.
It won't hurt much if you are young, but if you are retired, you have a real problem.
The irritating thing is that you cannot throw a politician in jail for ruining your life for what he did as a politician.
Go figure
I suppose the unconcealed looting of the public purse implies that those in charge suspect the game will soon be up.
You may not be able to eat in future but at least you can shoot the so-and-sos who presided over the final stages of this mess.
But don't overlook the final guilty parties - the voters. They (OK: they and the photocopiers) elect these people.
Hi dearieme
You are right, and nobody is listening, the voters want more of everything and in the end, they get nothing.
The trouble is, what happens when all of the banks go belly up? It's time to buy a gun and gold.
If the credit system collapses, there is no way for product to move to market. You won't transport goods for free.
This is just a minor problem that the politicians will not be able to solve.
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