Monday, July 17, 2006
Fedrl Reserve: US is just about bankrupt
Speaking of being scared shitless, PLEASE read this from the Telegraph UK: "The US is heading for bankruptcy, as a ballooning budget deficit and a pensions and welfare timebomb could send the economic superpower into insolvency," according to research by Prof Laurence Kotlikoff for the Fedrl Reserve Bank of St Louis, a leading constituent of the US Fedrl Reserve. Kotlikoff said that, by some measures, the US is already bankrupt: "To paraphrase the Oxford English Dictionary, the US is at the end of its resources, exhausted, stripped bare, destitute, bereft, wanting in property, or wrecked in consequence of failure to pay its creditors. The US govt is, indeed, bankrupt, insofar as it will be unable to pay its creditors, who, in this context, are current and future generations to whom it has explicitly or implicitly promised future net payments of various kinds." When Bush was selected to take office, he walked in inheriting a budget surplus of $236 billion. Nice to see how those fiscally responsible/ compassionate conservatives pan out for America, huh? And maybe it is just me, but isn't fiscal responsibility a moral value, too?