Real Debt and the USA Plan
Search Google for “US National Debt” and it will say America’s debt in February 2019 is just over $22 trillion. This is an outrageous lie. The $22 trillion only comprises what is called “Funded Debt”.
Most citizens think even this amount is just outrageous. But the facts are the US Debt today is closer to $144 trillion. The $22 trillion figure is just the financial obligations of the US Government that mature in one year or less.
The $122 trillion difference is termed the “Unfunded Debt” and is computed by actuaries to be the shortfall between what the US must pay out in benefits less the anticipated payroll tax receipts.* To find how much our total and real unfunded debt is, we have to add back anticipated future payroll tax receipts to the $122 trillion. (see next article “Real Debt Cut By The USA Plan“)
“The Trickle Down deficiency in capitalism
is CURED by the USA Plan.”
The Unfunded Debt mostly includes Social Security, Medicare, entitlements, government benefits and other obligations to be paid in the future for current and future recipients. Now Congress, the Media, and Academia wants people (you know “We the People”) to know that the $122 trillion is only promises. Congress can cancel Social Security and Medicare payments any time it wants.
Right! And pigs can fly. The people will never stand for canceling or eliminating Social Security or Medicare.
Now that didn’t go over well with the AICPA (American Institute of Certified Public Accountants). On the US Debt Clock site, they endorse the validity as incurred debt the amount listed as “Unfunded”. That means our real “funded” and “unfunded debt is $144 trillion or so.
For a better understanding of what a lie the entire $144 trillion is, revisit the Bankruptcy of General Motors. The company went bankrupt in major part because it owed $50 billion to auto union pension funds. If GM could have used the same misleading government accounting rules, they wouldn’t have owed $50 billion. Maybe the one-year obligation was only $4 billion.
Just to illustrate how seriously the People have been deceived and been put in an untenable situation know that the Gross Domestic Product of every nation on Earth combined was projected to be $78 Trillion in 2017. That means it would take the entire world’s GDP output for a little over two years just to pay off our debt. This as a tragedy of epic proportions. But one the USA Plan can solve.
As has been mentioned many times on this site every government in history has employed the “Trickle-down Theory of Economics”. That is, the elites take what wealth they want from economic activity and leave the rest to trickle down to the people.
It could be said that it was the “Trickle-down” deficiency in capitalism that led to the US’s $144 trillion debt. There are many to blame. Yet public opinion drove legislators to create safety nets like Social Security, Medicare, Medicaid, housing, food, and welfare and 80 or so entitlement programs. Some can rightly say that the costs of these safety nets have put the people (“We the People”) into a state of bankruptcy.
For example, on the US Debtclock.org website, various elements of the people’s wealth is totaled. For example, the wealth of all small businesses, corporations, and households is estimated to be $150 trillion. If our real US debt according to Generally Accepted Accounting Principles (GAAP)is north of $144 trillion that means THE PEOPLE essentially have a $6 trillion net worth after 243 years of trying.
This is a disastrous result. It needs the attention of every American. We here at the Prosperity Commission will be leading the charge to correct this situation. As the politicians have failed to solve the problem, it is up to the people to have a plan that does. The Prosperity Commission advances the USA Plan to solve this and a myriad of problems enumerated throughout this site. Its main goals are:
- To increase the net worth of Americans by over $1,000 trillion
- To extinguish all US Debt obligations.
Both the Rise-Up Theory of Economics and the USA Plan are thoroughly covered elsewhere on this site. How the Plan suggests we solve the Debt problem is covered at Debt Cut by USA Plan.
*Both discounted by an assumed interest rate from the year such payments need to be made to the present day.