Heirs of Liberty Press

$99 Trillion Reasons Richard Fisher of the Dallas Fed is Concerned.

Scott Herron, Editor

Richard Fisher of the Dallas Fed, as reported in the Wall Street Journal, recently lamented at Harvard, "the very deep hole [politicians] have dug in incurring unfunded liabilities of retirement and health-care obligations ... we at the Dallas Fed believe total over $99 trillion."

Ninety nine trillion! $99,000,000,000,000.  Add to this the national debt of over $11 trillion for a whopping total debt obligations of $110,000,000,000,000 and rising by the minute.

According to the Bureau of Economic Analysis, real gross domestic product(GDP) -- the output of goods and services produced by labor and property located in the United States -- decreased at an annual rate of 6.1 percent in the first quarter of 2009, (that is, from the fourth quarter to the first quarter).

GDP is roughly $14 trillion per year and declining.

 

Our debt and unfunded obligations (also known by sane people as debt) are 10 times annual wealth creation.  Debt is going up at an unfathomable rate and production is going down at an unprecedented rate.

Is this a cause for concern?  The Dallas Fed believes so.  China believes so. 

It is ludricrous to think we can spend our way out of debt and into prosperity.  How can the cause of the problem also be the solution?

We have the perfect recipe for catastrophe on a scale the world has never seen: Unimaginable debt; Continued out of control spending; Socialist punishment of the productive coupled with huge unearned rewards to the non-productive; Growing discontent; and a crackdown on Constitutional Liberties.

This massive ponzi scheme will collapse.  Socialist policy will have the same effect here as everywhere it has been tried: more equal poverty for all - except the ruling elite.

We have a debt obligation of about $360,000 for every man, woman and child in the United States.

Hang on folks - it is going to be a bumpy ride!