 |
While Washington is buried in bungled health care reform and Wall Street is vexed about possibly jinxed tax reform, both seem to have lost sight of the one, giant, intractable monster in the economy that virtually no one talks about any more: Debt.
They seem to forget that excess debt was the repeat offender behind the bank failures of the 1980s, the subprime mortgage disaster of 2007, the global market meltdowns of 2008, the Great Recession of 2009 and the multiple European debt crises of 2008-2015.
Worse, they seem to ignore the fact that the last 7.5 years of near-zero interest rates and unbridled money printing have only encouraged still more debt pile-ups. “Money is dirt cheap, so why not?” say officials in Congress, the White House, the Treasury Department, and government agencies.
“As long as the government’s debt burden is under 100% of GDP,” they tell you, “we can handle it. It’s only when it surpasses the 100% threshold that we’ll be in danger.”
True or false? Let’s look at the numbers …
- U.S. GDP is $18.6 trillion. And …
- U.S. Treasury debts outstanding are $16 trillion.
- So that means the debts are under the 100% danger threshold, right?
Wrong! That calculation conveniently excludes government debts that have piled up on the books of U.S. government agencies and U.S. government-sponsored enterprises, such as the Federal Home Loan Banks, Federal National Mortgage Association (Fannie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac), Farm Credit System (FHS) and others.
|
It’s quick, easy, and profitable! The “11th Commandment” is a unique options strategy. Now, I understand if you’re nervous about options. I don’t have to tell you that option buyers can lose money. Heck; ALL investors can and do lose money. But the thing is, most investors approach options in completely the wrong way; by simply buying calls or puts. Read more here … |
How much? According to the Federal Reserve’s Flow of Funds, as of year-end 2016, they have a massive $8.5 trillion of additional debts.
These agencies were created by the U.S. government, are controlled by the U.S. government, and during the last debt crisis, were the biggest failures to be bailed out by the U.S. government. After that experience, how anyone in their right mind could continue to exclude their debts from the U.S. government’s books is beyond me. And yet that’s precisely what Washington has been doing all along, whether under Clinton, Bush, Obama or Trump.
Add those debts to the government’s total burden … and guess what! Instead of $16 trillion in U.S. government debts outstanding, the actual total comes to $24.5 trillion, or a whopping 132% of GDP!
How bad is that? Even with the recent growth in the U.S. economy, the government debt load today is significantly larger than it was during the Great Recession and the Debt Crisis.
And from a longer term perspective, it’s absolutely horrendous. Compare it to the 1980s, when banks and S&L went under by the thousands. In those days, government debt (even including government agencies) was close 40% of GDP. Today it’s more than three times bigger.
|
Rancher Warns Trump Supporters from Isolated Mountain During his campaign, President Trump warned about this. It’s the crisis liberals have secretly been hoping for. Here’s how this multi-millionaire protects his wealth. |
| External Sponsorship |
Or compare it to year-end 1970, about eight months before President Richard Nixon devalued the dollar and abandoned the gold standard. Then, the U.S. government debt burden was only 32.9% of GDP. Now, at 132%, it’s over four times larger — in a nation that’s far more difficult to govern or reform than it was in the 1970s. Moreover …
At 132% of GDP, the U.S. government now has roughly the same debt troubles as Italy. Worse, it now has a larger debt burden than Greece had before its collapse of years ago.
And this doesn’t even begin to include the U.S. government’s obligations for Medicare, Social Security, veterans’ benefits and more.
Will these shocking realities hinder private corporations in their quest for bigger profits, prevent investors from piling into the stock market, or stop the Dow from continuing its upward rampage? Probably not yet.
Will it return to haunt the Fed, the U.S. Treasury, Congress and Mr. Trump? Probably sooner than later.
Which market will be the first to feel the impacts? Government bond markets, of course. Expect long-term bond prices to begin a secular decline, culminating in collapse, as their yields begin a long-term rise, culminating in an explosive surge.
Good luck and God bless!
Martin
P.S. Not convinced? Then check out the source data for yourself. Go to the Federal Reserve’s March release of “Financial Accounts of the United States: Flow of funds, Balance Sheets and Integrated Macroeconomic Accounts.” Then, scroll down to their page 117 (based on their numeration at the top of the page), or page 131 (of the pdf file). Here’s the relevant excerpt of the table you will see …
 |
On line 3, note that total “Treasury securities” outstanding at the end of 2016 were 15983.8 ($16 trillion); while on line 4, “Agency- and GSE-backed securities” were 8520.6 ($8.5 trillion). These add up to $24.5 trillion in U.S. government debts, or 132% of GDP.
Dr. Weiss founded Weiss Research in 1971 and has dedicated his entire career to helping millions of average investors find truly safe havens and investments. He is Chairman of the Weiss Group, which includes Weiss Research and Weiss Ratings, the nation’s leading independent rating agency accepting no fees from rated companies. His last three books have all been New York Times Bestsellers and his most recent title is The Ultimate Money Guide for Bubbles, Busts, Recession and Depression.
{ 96 comments }
Being Cassandra is all well and good, but what should Americans do? We seem stuck with a duopoly which spends regardless of who is in charge.
Arr we simply doomed, or do you have suggestions WE can act on?
Great question. Safe Money Report and various other financial newsletters discuss this problem, but don’t offer suggestions on how individuals can take action to reverse the situation.
Dr. Weiss — apart from explaining the problem, please provide recommended courses of action, so that individuals can start pressuring Congress and the President to reverse deficit spending, and start decreasing the National Debt. Yes, writing letters to Congress may help a little, but which organizations are likely to be effective in convincing Congress to halt deficit spending? Group action usually has better results than individuals. “Hang together, or get hung separately”. Please provide names and addresses..
What is a safe strategy in view of your dire predictions?
You will not find investment safety in diversification, as you have been led to believe. Find an asset class and proven process for following the price trend of that asset class.
Invest in gold and silver, buy land in Nova Scotia and learn to barter. Be self sustainable! Cheers, Gary Carpenter
Energy may be the wild card!
“We” is the problem.If Americans wanted an honest govt they would elect honest leaders.Instead,Americans look at govt as a place to get freebies.American voters just want low or no taxes and lots of benefits from govt.They don’t even realize that govt is so inefficient,wasteful,fraud infested,that for every Dollar govt takes in taxes,output is less than .50.So,the larger the govt,as a % of the economy,the lower the average standard of living.Many don’t care,as long at they think they are beating the system,getting more than they give.
No need to worry. When Trump ran for President, he promised to have all of the debt paid off before he left office in 8 years. That is partly why he won. He plans to do that by cutting taxes bigly and having a big infrastructure buiding program. He’s already cut a lot of things like the national endowment for the arts, Public Broadcasting, money for national parks, Meals on Wheels, Head Start, etc. And, he’s trying to bring back higher paying jobs. We’ll see how it turns out! We have tons of debt around the entire world. Yet against all predictions, interest rates are lower than ever. The fear has always been that a lot of borrowing, raises interest rates and costs. However, so far, that has been proven to be untrue. I try to not borrow trouble. Don’t worry about things that you can’t possibly change. Just be prepared for the negatives in the event Trump’s promises were fabrications that he does not intend to keep.
What about the answers to the other questions?
What about the Obama affect? Some $9 Trillion debt increase.
our national debt is precariously close to 20 trillion obama doubled the national debt in under 8 yrs was it done deliberately———————————————–….YES
I do not believe we will ever default on the national debt. We cannot pay it down with increased taxation as this will trigger a depression or terrible recession. What I think will happen if we don’t get the debt under control is a return of inflation. Countries that overspent massively during wartime like Germany and South Korea experienced runaway inflation. At some point I think we will have 10 or 20% inflation and this will reduce our debt at the expense of our government bond holders
Yes, inflation is what governments do to pay off government debt. Our government will create inflation. In fact, our government has been trying to do that for the past several years. If we have inflation, our debt will seem smaller, and it will be easier to pay off.
What would you have expected Obama to do? The economy was in free fall ,the fed was bailing out all the banks and their buddies. He did save the economy for the little guy . The fed took care of their own . Why not ask about the Bush effect who got us into the mess?
There is NOTHING to show for the $10 Trillion Obama spent. He sent 95% of it to his political cronies, unions, cities, etc. His actions will end up sinking the little guy when this finally comes home to roost.
It’s ALWAYS Bush’s fault LOLOL.
Dr. Weiss:
How much time do we have before the government defaults on the national debt, & what will be the results of this default?
ive been worried about the external debt to GDP ratio of the united states for some time @132% its definately a huge problem but did anyone notice all the spending programs and the business restrictions through the EPA the obama administration did in its final days and hours all the restrict the economy of the united states to grow efficiently
well the way i see trump has very few avenues left repayment of the national debt is completely impossible SO WHAT DO I SEE HAPPENING i see more quantitative easing which means increasing the M2 money supply with the whole purpose of buying back more of the united states bonds ( i expect to see that secret buyer of u.s. debt from norway again ) BUT EVENTUALLY THE INTEREST BURDEN WILL BE TOO LARGE for the united states to pay and thats where we enter a sovereign debt crisis and we default on our debt all entitlements will be a thing of the past so will medicade medicare and social security…… and then things start to go from bad to worse
Agreed. But this will be an international crisis. Europe is in big trouble…95% of the rest of the world is too.
I agree with Hawk! Does this mean hyperinflation? I have lived my life my man! You sound logical and would love to collaborate. Gcarpenter_690@comcast.net
Cheers and have a fun week, Gary PS My compensation is gone! I might as well learn to barter now!
We are about 6″ away from entering the most terrifying “fun house” that was ever created.
I think we have already entered with Trump.
Try not to worry. Trump declared in October that the debt would be eliminated by the time he left office.
Wow! This is fun right now!
The US Treasury will simply keep on selling its debt to the Federal Reserve! Why should anyone be worried Martin??
As long as the Feds are there as a safety-net, why worry?? After all, what is stopping the US Government to liquidate the Feds?? (Like Andrew Jackson days)!
Come-on, TRUTH time!
It’s all a confidence game. When the confidence runs out…even the Feds will not be able to turn the tables of social opinion.
Our future Economic and Political conditions look very bleak. We as a nation must make every effort to work together for the best interest of our all of our citizens. Our government is working against each other for selfish interest and forgetting that we the people voted them into office to work for only what is best for all of our citizens in our USA. Until we stop being a house ” divided that shall not stand” , we will not start to make any progress toward solving anything. We the people have elected the best person we have to lead our country today. Why do we allow trouble makers to interfere and distract our elected offices from performing their jobs ? Why can’t we all get along and work as a team to win, not lose? It is time to get tough and stop playing political games. If not we are DONE !
“God Bless Our USA” We sure need his help now if we are to survive as a free country.
I agree with your assessment of the situation but don’t see it ending well as the country seems to be divided politically, culturally and in other ways that seem intractable. Things have been heading South in this country culturally since the 60’s for many reasons with Government control of education being a primary factor. I don’t see a remedy that doesn’t involve civil violence and a rending of the country into either a system resembling that of the old Soviet style system or more likely a breakup of the country into two or more countries within the same land mass. JMO
Hi David Bernier,
Well Said!!
The Long Silent Majority have finally gotten up off their butts and voted
to stop being the World’s Pincushion…
The West only achieved in 250 years what it did..because of the Freedom To
Innovate and give the people what was needed to build a new Country from the Ground Up. They were also allowed to get rich if they created what people wanted and needed.
Did Europe go to the Moon in 1969? No
Did Asia: No
Did Russia: No
Were Polio, Whooping Cough, Smallpox, Cholera, Measles, Mumps
Rubella stamped out in any Country before the US led the charge?
Were Wind Generators, Solar Panels and Lithium Ion Batteries invented and perfected in Countries ruled by Dictators?
Now, even a Poor Country without huge Power Generation can have people living
in desolate areas, with a Satellite Phone, Satellite TV, a Refrigerator
and a microwave oven without having a connection to a Power Station.
Has this helped the World or harmed it ?
Ok Ok!… not everything good came from the US
France gave us the Croissant, England gave us the Beatles and Germany gave us the Volkswagen..
The US Gave us the Hummer and for a few good years, even the middle class could afford to buy and drive one… Where else on the Planet can that be said?
If the Fake News is allowed to continue, all these achievements will be written OUT
of the History Books and the West will be forgotten as a Leading Power..
Go ahead… and Make America Great Again !
Actually, I am a Canadian and even I can see the injustice of the Media and the
Education System.. when it comes to praising the West.
Maybe we were better off in the days before Al Gore Invented the Internet…
Go Ahead !… googler it ( Yeah, I typed it wrong! )
Its about time the politicians faced the public and told them that if they want what the government currently supplies taxes will need to increase to pay for them. Otherwise government expenditures will have to be reduced, in either event lean times will be upon us for some length of time. Tax cuts are OK for a while but never get reversed. Of course if you are an economist and only bother about under used resources then money has no value and you just keep printing.
People receiving entitlements aren’t working or aren’t working enough to pay increased taxes. We have to reduce entitlements, fraud, waste and the size of government to make a dent.
Hi Martin. I loved this article and your writings. My question is: Do the countries that make up the Euro have a worse debt burden than us? It seems to me that Europe looks to us as some sort of savior. I agree with you that our country is in serious financial difficulty. With that being the case , how bad is Europe ?
If bonds go down in price and interest rates rise, then what would be the effect on cash? Specifically on cash savings?
That report is very real but not reported as completely by media only parts and pieces. A house divided can not stand. If you put this report and the division in
are 2 parties this could bring economic disaster.
Jim from Memphis
As Martin understates “And this doesn’t even begin to include the U.S. government’s obligations for Medicare, Social Security, veterans’ benefits and more.”
The net present value of those unfunded liabilities amounts to about $200 Trillion*1.
*according to Professor Lawrence Kottlikoff of Boston University.
The USSA is basically broke !
It is broke. I always wince when some political pundit says, “We are the richest nation on earth.” (so we can spend more money on welfare programs). NOT.
Show me the articles where you wrote about debt and deficit during Obama’s years? SUDDENLY, debt and deficit is important under a Republican administration. Give me a break.
Yes, give me a break. Doesn’t matter whether it’s Dems or Repubs. Though deficits dropped almost every year under Obama, the debt certainly went up!
We need more than 2 parties in this country, so parties can start working together….
hey paul if barack obama did such a wonderful job controlling the deficit how did obama manage to double the national debt in less than 8 yrs
TSettle, I have been reading Weiss, Inc literature for about 9 years. There have been numerous (perhaps a few dozen) articles from Martin Weiss and from Larry Edelson (RIP) during those 9 years pointing out, in detail, the magnitude of US debt and its unsustainability. The danger of excessive debt in the USA and elsewhere has been one of their main themes over that period of time.
I’ve read his and Larry’s warnings about the debt for 10 years now. Don’t be so partisan. Give me a break.
On the contrary, I raised hell for 8 years while the obamatraitor was President.
The debt & unfunded liability at the federal level is simply astounding.
But of course, T settle has enough money for beer-cigarettes-gasoline so everything is fine ???
TSettle, you obviously haven’t been reading Money and Markets for very long. I have been reading it for about three years and they have ALWAYS talked about how bad debt is and how the country needs to go back to fiscal responsibility.
Dear Dr. Weiss,
So comes the question….. How long will it take the voters in America to realize that this debt bomb has a political cause and solution?
How long will it take to realize that the Debt began to pile on (from your own charts) from the “Republican Revolution” of the 1980’s when Reagan cut taxes to his supporters (the wealthiest 3%) without cutting government spending?
How long before they also realize that the following were ALL Republicn initatives:
1) GATT and NAFTA: Which moved millions of Middle Class tax paying jobs off shore
2) Changes to the Banking laws which allowed Trillions to be moved offshore to escape American taxes.
3) The removal of Glass-Steagall Act of 1933 (which allowed the kinds of highly risky trading that brought 1929 again in 2007).
4) Both invasions or Iraq and then Afghanistan which cost front and back end somewhere around 9 trillions and made the Middle East even more dangerous.
5) The removal of the Inner City restriction from Barney Franks Inner City lending initative (that allowed “liar loans” to go nationwide at great profit to the Mortgage Bankers which support, guess who?)….
6) The removal of Democratic political spending limits which allowed the wealthiest 3% to spend billions thru dark pools to get their minions elected throughout America?
And let us not forget that the Stock Market Crash of 2007-2009 was brought under a Republican Majority Congress with a Republlican President after a long period of Republcan domination (Just like 1929)….
And let us not forget that the end of the Crash and most of the recovery was brought under a Democratic Majority Congress and a Democratic President (Just like 1932)…
Very good points, It’s easy to forget that the Republicans have caused almost as much, maybe more economic damage than the Democrats. Concerning your last point about Depression recovery under the Democrats — times have changed. Under ‘W’ Bush, we had over $9 Trillion Debt, accumulated since the late 1700s. Under Obama, the deficit doubled to almost $20 Trillion in just eight years! Altho the economy is recovering, it is very slow, and the real jobless rate is at least 12-15%, when using the unpoliticized formula from the 1980s .
Don’t make this political. No party is innocent. We all know there is a residual effect that benefits or handicaps incoming Presidents and Congress. Nothing is affected within a clean timeframe. Let’s face it: We want everything, we don’t want to compromise, we don’t want to pay. This nation will be faced with the negative impact of entitlement.
MORE FAKE FACTS BROUGHT TO YOU FROM EAGLE495 and NBC, CNBC, CNN, MSNBC, ABC, CBS, THE WASHINGTON POST THE HUFFINGTON POST oh forget it ill be listing fake news sources for days ……. and ETC.
OK OK IVE GOT TO SET EAGLE495 FAKE FACTS STRAIGHT……………. #1 THE NORTH AMERCAN FREE TRADE AGREEMENT ( N.A.F.T.A. ) WAS signed into law by a progressive democrat BILL CLINTON #2 THE GENERAL AGREEMENT ON TARIFFS AND TRADE ( G.A.T.T. ) was signed into law by guess again…………………….cmon you can figure it out yea very good it was the liar in chief BILL CLINTON #3 WHO ENDED GLASS – STEAGALL NO ITS NOT A REPUBLICAN IT WAS THAT PESKY BILL CLINTON IN 1999
Wrong, wrong, wrong….. Where do you get your news? From Brietbart, the RNC? Simple to a Gooogle search and you will find out how wrong your comments are. Are you an RNC Operative? Russian? Or do you just refuse to look for real facts?
Incidentally, Glass-Steagall was removed in 1999 by a Republican Majority Congress and removal legislation was brought by Graham/Leach/Blyle, ALL powerful REPUBLICANS……. I agree that Clinton was wrong when he did not Veto the legislation.and force the Republcians to overide his veto….. That said, it was brought by a Republican Majority Congress at the behest of the Cabal of Banking, Brokerage and Insurance. This was only reported on PBS by Bill Moyers with a piece called ” Mr. Weill Goes To Washington”. Mr Weill was Terry Weill, President of Travelers Insurance and a BIG Republican donor…..
What Rush did not report these facts? Gee, how unusual!?
GATT was passed by the Reagan Administration and NAFTA was brought and passed by the H. W. Bush Administration. Really, look it up…. If you want to be informed, aye?
Recovery? Lets do the math shall we. Average GDP 2009-2016 2.8% per year. Average debt 2009-2016 $1.3 Trillion per year. So we borrowed around 8% of GDP annually to have around 3% actual growth. So the real GDP for 8 years was………drum rolls ……-5%. There you go did the math for ya
Oh Jeremiah! Wherefore art thou, Jeremiah?
Jeremiah Johnson?
I don’t see all of this debt sustainable in the near future.I believe we had better hold on.We
are going to be going on A wild ride.
Hi Dave,
Lets hope that the business instincts of Trump will find a way to stimulate Consumption, jobs and the flow of tax money will solve the stagnation that we are seeing…
People are afraid to spend because they do not know what the future holds…
Repatriation of foreign holdings will help a lot when the tax rate is lowered and that money flows back into the US Economy after the major corporations see that they can
actually make a profit again in the US markets.
The Doomsayers are so focused on blaming the Repubs that they forget that
the majority of both parties are either Democrats or Rinos.. Trump has a huge
task to cut wasteful spending and allow Business to do what Business does best.
.
All I can say is that we a bankruptcy idiot in office and you hope he can solve the u.s problems .
what rock have you been hiding under.
This debt situation is such a level of political and economic incompetence!
There just isn’t anything more negative one can say to describe this level of incompetience.
It would seem that inflation will rise with higher rates, and the buying power of savings will therefore decline. People such as myself, retired and living on Social Security and savings, are going to take a big hit. Employed people will see their buying power decline also, as costs rise and robots take the jobs away from them. I understand that studies indicate about 38% of jobs will be displaced via automation in the next few years. Will the combination lead to a Greater Depression? We should soon see.
Incidentally, politicians keep dabbling in the “Minimum Wage” and regulatory markets. This buys them votes, while not costing them anything. It does cost employers substantially, however, as it also drives up wages of higher level employees. Employers MUST, therefore, raise the cost of their goods and services, or go out of business. They also reduce the number of employees to a minimum – hence the increase in automation, and the increase in unemployment. Remember, when a politician pats you on the back, his/her hand may be holding a knife.
“no one talks about any more: Government debt” Of course not, Republicans ranted and raved for 8 years at Obama on the debt issue even shutting down the Government. Never mind that during the Bush Administration they quietly raised the debt limit 17 times. 95% of this debt has been incurred since the advent of Voodoo Economics. The debt tripled under Reagan. The yearly deficits were cut to zero by the tax increases under Bush I and Clinton (Bush I being thrown under the bus for his efforts). Bush II doubled the debt by unleashing the debt monster again with Voodoo II and military spending. Obama failed to reverse those deficit drivers and doubled the debt again. Trump now appears to want to take an out of control deficit into the stratosphere.
There is only one way to contain the debt monster and that is through raising taxes and cutting spending, kinda like what Republicans said in 1956.
Of course, it’s under both parties, but the Republicans are the only ones to even say the “D” word out loud and at least try to do something about it. Like Nancy Pelosi says: “It’s not a “debt” problem, it’s a “spending” problem. Then Nancy…..STOP SPENDING!
kinda like when pelosi said we just have to pass the affordable care act obamacare just to find out whats in it and she also said lets pass it 1 st then we can talk about it later
Private debt of some types, and some of the state debts are. But the comparison with Italy and Greece is absurd. Neither Italy nor Greece borrow in a currency the control: they’re currency users of Euros, controlled by the ECB. The U.S. Government is a currency issuer, borrowing in a currency we control.
It si physically impossible to take care of a debt of 125 trillons with a t even if all the Government revenues would go towards it. So,eventually,it will take à new financial system that will abolish today’s system completelly and the world starts from scratch.It is not if,it is when.I just hope i will be dead by then but my children and yours sure will be in it over their head.This is the most important question but nobody talks about it because there is no answer.
STOCK UP ON WHISKEY AND BULLETS
i like your thinking tom ive already got a basement full of rum whiskey vodka bourbon and wine only to be used as a antiseptic
Are not some in gov. saying we are in good shape. The Gov. has enough assets to sell and pay off the debt and have a profit. BUT in the back ground—- Trump telling EU to pay their bill for the protection we give them this could mean we have an Army for hire.
Hi Jim,
If the Government sold-off all of it’s assets, what would remain to justify the value of the Dollar? It would become as cheap as a Peso or Yuan overnight..
Then all the savings of anyone who still has such a thing… would not buy
you a loaf of bread..
The West would no longer be a Sovereign Country. It would be OWNED by
foreign Trillionaires who would now be virtually broke.
Who would buy the US debt if a foreign buyer had to sell his OTHER US Dollar Holdings in order to buy the Assets/Infrastructure of the US…?
The US has already sold off 20% of it’s Uranium assets and no one even mentions that… it was done by the Democrats.. Of course, the Bill and Hillary Foundation did get some nice donations for their co operation.
Hi Eagle495
Bush’s last two years was a Lame Duck Presidency…
All he was doing was signing what the Democrats wanted because he had no choice…
Everything he was accused of being my the Mainstream Media was
done to weaken his Presidency in preparation for the election of 2008.
The problem with Bush was that he never Hit back… against the Fake News…
one example was the Unemployment numbers… before the interest rates began their climb with the Democrats ruling the Senate.. It was Staged to make sure that the
Employment worsened as the election approached. He was called Hitler, Dumb
as a Monkey, (with pictures to show the resemblance) and he never fought back..
He just ignored the insults… and look where it got him…
Another example was the accusations of Weapons of Mass Destruction located in Iraq:
Bush shared the same opinion as the talking heads in the Democrat party…
Too bad that he was being informed by Clinton Holdovers in many of the Departments
which were advising him
The Clintons, Kerry, and many others were saying that there were WMD such as were used against the Kurds in Norther Iraq .. Sure, it was mostly Nerve Agents
and not Nukes, but there were called WMD none-the-less..
Another example of Fake News was the Constant reporting on the Deaths listed as Collateral Damage when bombs were dropped…
What was not told was that civilian bodies were brought in to bombed areas to make the bombing look irresponsible… such as when the Iraq reports were that
a Baby Milk factory was bombed… What was not told was that it was hiding a military
operation.
Why were such accusations not made when the following President killed civilians
with Hellfire Missiles launched from Drones?
hey did anyone else forget barack hussain obamas complete rant for most of his 8 yrs ( its not my fault its bushes fault )
Hi Eagle495
Here is a supporting link to my point about the baby Milk Factory
https://search.yahoo.com/search?fr=ush-mail&p=Bush%20Bombs%20Baby%20Milk%20Factory
Here is some support for my point about WMD being used on the Kurds by Saddam
http://www.freerepublic.com/focus/f-news/1007910/posts
The following article explains the loss of jobs during Bush’s last two Years
being worse than what Obama has accomplished….
Strange that it happened only in the Last two Years while the Senate was controlled by Democrats and Bush was being ridiculed for Signing and passing what they wanted.
http://www.factcheck.org/2015/01/obamas-numbers-january-2015-update/
Dr. Weiss and Bill Hall — this is an excellent article, similar to others written over the last several years. Recommend that every month, or at least once a quarter, you include a short summary of the National Debt, what individuals can do about it, and weblinks to this and similar articles. To get action, requires repetitive highlighting of the problem, along with providing solutions. Most of us care about the well-being of America, and would like to take effective action, if a roadmap were provided.
Martin, there is something I don’t understand. Everybody talks about the federal debt like it is the end all and be all of debt, but nobody ever talks about our overall debt of $68 trillion, which is over 350% of GDP. This is a huge number that is going to be dragging down our economy for a long long time. Also, this debt is so huge that it is over a quarter of the world debt.
It’s Just Deja Vu Lyrics all over again.. It will never end until the end of time.
All that’s going to happen all across the world is, They will just keep adding to the unsustainable debt. what else can they Do. That’s all thy will do.
No Politician has the Balls to do whats right. Obama had to seize the moment when he took office. If he would have, he would never had been re/elected.
The American people are utter Cry babies and all they want is more and more, when in fact they should be giving concessions. See each and every Union in this country.
This is the beginning on where to start. Union People in Health care need to be whacked real hard. Further the companies supplying the health care with supplies. Then these out of site out of mind pharmaceutical companies… Whack them.
Then we have the out of site out of mind salaries of top executives and there compensation, further bonuses.
Then we have the buffet tax that should surely be invoked. These people make made money, but pay no mad money back in taxes as they should. They cry about the amount of money they pay in taxes as they reap huge sums of money but never pay there far share..
Then we have the Middle class that cry like little babies, they want there taxes lowered.
Not in my world baby.
This country has been ran into the ground by politicians and cry baby Americans.
They need to Deflate this country, just like the worlds economies need to do, they need to stop the tax breaks, and raise taxes.
This country as does its cry baby Society live far beyond there means…
It’s just like Vladimir Putin says, The USA is a Global Parasite to the Global Economy.
The USA worries about everybody else , when it can not govern itself Correctly..
This madness will not ever stop, they will just keep adding to Debt and cutting taxes.
Any Issues with my post here—-
See the FBI for my Profile of this Country, they Love Me.
Sincerely
Michael T Fox
I have just sent this to my face book group. It is one of the reasons I feel that those BONE HEADS in Congress should have the same medical, retirement plans, etc..,etc.. as we do!!
They should feel the same PAIN we will when the chickens come home to roost.
Our debt will continue to grow as long as buyers continue to accept our paper (computer generated) currency . Notice it’s not money , because it has no intrinsic value ( a promise by the USGov. To honor with a another piece of paper.) of no value . Think about it.
Release Fannie and Freddie from conservatorship which will yield around 200 to 300 billion back into the coffers of the Gov…ex..exercise the 79% warrants.
Export oil and gas from USA to around the world…ex..pipeline from Canada.
Bring all jobs back to the USA
Develop new technologies that can be used throughout the world.
Sadly a lot of people have bought into the propoganda being fed to them by the richest 3%. America has ALWAYS done better under Liberal Progressives as they represent the Majority of Americans and the Conservatives, the Richet 3% in the country.
Historically, there have only been three President who were wealthy who did good things for this Country and they were all three Progressive Liberals: Teddy Roosevelt, FDR and Kennedy.
Those that invested in ONLY Democratic Presidentcies since 1929 have done many thousands of times better than those who invested only in Republican Admistrations. Check it out if you want the truth…..
Those that think the current billionaire will do good thiings for America are very gullible. Aren’t you gullibles getting a little nervous over his Russian Connections or his tweets? “What have we done”? Has he begun to clean the swamp? Has he begun to bring jobs back to America? Has he begun to reduce the debt? Has he begun to “return confidence”?
Not to worry over getting conned though, as current invetigations ought to bring a change before the Summer is over….. Or perhaps the 25th Amendment will lbe brought to play over “fitness for office” issues….
Eventually the majoirty will realize that they need to turn to the left and America will return to the greatness that it enjoyed from 1932-1982… Educate yourself or stand on the sidelines and learn. Our Grandparents figured it out and our children will also……
yea yea yea eagle495 lets hear more of your fake facts FAKE FACT #1 your always ranting it was the republicans who had control of the congress when the subprime mortgage mess happened your quote 2007 -2009 but isnt that impossible since democrats had control of the congress from 2004-2010 and the democrats had control of the senate from 2004 – 2010 and barack obama was elected president in nov of 2008 to jan 20th 2017
oops my mistake actually democrats had control of the senate from 2004 – 2014
I object to your assignment of the subprime mortgage failure to excess government debt. In fact, the subprime failure was entirely due to the banks and mortgage lenders embracing a highly toxic product and the financial markets overwhelming willingness to package and pump this poison into the world market, all for short term gains. To blame it on government debt is to ignore the fact that the financiers and financial companies destroyed their own markets. And brought the rest of us down with them. Add to that the Soros conglomeration, et al., tearing petroleum pricing away from traditional supply and demand forcing oil cost to be more contingent on speculation than product. Those two factors did more to damage World economy than any over printing of paper money. As usual, blame the government instead of the financials. Happens every time.
been following weiss for 20 years and has in 20 years always been a doctor gloom and doom , eventually he will be right .
The proposed replacement of Obamacare was supposed to cut down the debt, but this aspect was never emphasized. What killed it was the refusal of vested interests to accept cuts which would have helped decrease our debt burden. They only saw loss of priviledges of various constituents which had bloated the budget- very short sighted.
It seems we’re blaming sides here. Reps & Dems etc. Sending emails and such to our congress hasn’t helped much. Are we stuck for another two years almost with what we have. I suspect so. We as voters haven’t done a good job of voting in people to make changes as needed or convincing the ones we have to knuckle down and make some tough decisions. Maybe it takes a crisis for things to happen with the present folks in office. They haven’t moved in the fiscal better direction yet. Not sure I like the idea, but so far a threat of a crisis hasn’t helped. They need the real thing.
Remember 1929 and 2007: both Stock Market Crashes occurred afte periods of Republican Domination.
Also remember 1932 and 2009: Both Stock Market Crash bottoms occurred after Democratic Presidents and Deocratic Congress were elected.
Look farther back and you will find that most of the Stock Market Panics occurreed after periods of “Conservative” domination and most bottoms occurred after “Liberal Progressive” Presidents and Majority Congresses were elected.
Lincoln was a Progressive Liberal. They were called Republicans in those days and the Conservatives were the Southern Slave Holders and were called Democrates..
so if thats the truth and it isnt eagle 495 why did a recession occur under jimmy carters watch and bill clinton and if things just do so many thousands of times better under democrats versus republicans why did we have the sluggish economy under obama and a 10 trillion dollar debt build up and not a thing to show for it
FACT :The economy has been willfully and completely metastasized to the point of no return.
It’s now in the final stages of a difficult or painful death.
Realistically, nothing and no one is in a position to “sanitize” this dreadful reality.
The mathematical evidence that Mr. Weiss is constantly pointing out couldn’t be any clearer or more dire!
Hence the lifesaver conclusion :
BE PREPARED ! BE VERY PREPARED!
Or suffer the obliterating consequences.
Is it time to go all-in to Precious Metals?
I do not think we can depend on our government to control our debt increase. If you look at our history our debt was always reduced through inflation and I think that will continue to happen.If inflation grows to 10 or 20% a year, in a few years the debt will be under control at the expense of government bond holders and people on fixed incomes. Trying to pay off this debt will just trigger a recession or depression.
Our form of government does not lend itself to fiscal control. Our elected government members, in order to please the people who elected them, are forced to do things that cost tax dollars and imposing more taxes usually insures their defeat.
These agency’s loan money that are backed by real assets which can be forclosed on. Maybe that’s why they are not included. What caused Larry untimely death?
dear martin,,,the reason for all of this DEBT is the ability of the americanos to bully the rest of the world into financial and military subjugation. take away your military and your country would calypso collapso overnight. ‘might is right’ and everything else is a fairytale. and so it has been forever and will be forever more. remember the fuedal barons, the ghengis khan dynasty, the kings and princes who ruled and who rule now. all of them have had armies to do their bidding. say no more. MIGHT IS RIGHT.
i do recall you had an article on here about end of 2008 which read that there was a gonna be a financial tsunami rushing down wall street to engulf us all very soon. nine years on we are still flogging a dead horse. in reality money printing can seemingly go on forever. who really cares? its all man created. who is to say when enough is enough? we just raise the bar a bit more lol. see ya
oh dear i forgot to mention that one day soon the ‘elites’ will pull the plug on everything and send us all broke like in 1929. but they gotta get rid of that ‘pest’ trump first. then they will be able to do a huge ‘withdrawal of credit’. withdrawal of credit means just that. no dough!
how are you gonna buy anything when there is no money?. 1929 said it all..and 88 years on nobody is listening upstairs.
Cancel the credit card and short every market your are invested in. Where else you put your money is up to you. The era of the delusion of easy money is over.
In case you haven’t noticed, the U.S. has no government, only a select group of incompetent capitalist cronies in the wrong places of power. Since you didn’t vote, you put them there. Practice saying it and good luck.
THE BEST BUY ; GOLD &SILVER IF NOT RHODIUM .. THAT SAID RHODIUM UP 30% FOR THE YEAR GOING FOR A MOON SHOT…………….
You need debt to run a business. The government is basically a business, it acts as a lender of last resort to the people human beings in the economy. 100 years ago is a hell of a long time. In economics adaptive expectations exist whereby tomorrow is gonna be roughly similar to what today is like. Besides quantitative easing could create a multiplier effect in a open economy with a government sector. What about the marginal propensity to save, the marginal propensity to import and the marginal propensity to tax, 1 dollar of quantitative easing could create 4 dollars in the economy by the multiplier effect. What about exchange rates? Should they be flexible exchange rates or fixed exchange rates. How’s this all gonna effect gross national income at market prices?