US Local, State & Federal Debt - Our Elected Leaders Have Failed Us

As we watch bankrupt Greece and Puerto Rico in the next few months turn into turmoil on their streets, Americans need to understand that US Local, State and Federal Debt is probably around $150 Trillion with no end in sight.   Most of this amount is unfunded liabilities and or promises in the law, related to Social Security, Medicare, Medicaid, ObamaCare and Local, State and Federal Government Pensions.   The money is just not there to honor these promises and there is no way to get it there except by more borrowing, or printing money, which will lead to very high interest rates and inflation. 

Rather than paying down this Debt and or putting money aside to honor the promises already on the books, all levels of government have underfunded pension liability and or they just keep rolling over the Debt with new loans, rather than paying it down.  ObamaCare with expanded Medicaid, added a new Entitlement that just adds to the list of others that are unsustainable and on the way to insolvency.  Further, it not a question of just raising taxes to deal with all this Debt. 

According to US National Debt Clock, all the wealth and assets in the United States combined total around $118 Trillion, much less that the combined Local, State and National Debt waiting to explode on the American people.   So if all wealth in the country were confiscated, not just a percentage, which of course Socialists and Communists in the United States would love to do, there still would not be enough money to cover all this Debt and Entitlement Promises.

Socialists refuse to acknowledge that we even have a problem as they continue to call for new Entitlement Spending and higher taxes that retards economic growth making matters even worse.  Republicans often talk about the problem; but to date little has been done to stop new borrowing and deficit spending that is adding to the Debt.  In fact, more often than not, in spite of supposed Republican core principles, over the years, Republicans have voted for more spending and higher taxes so their hands are not clean either. 

We have to reduce the size of government at all levels by cutting out waste, fraud, abuse, corruption, redundancy and eliminating those programs and agencies of government that have failed the American people.   We absolutely must have Entitlement Reform that deals with Social Security, Medicare, Medicaid and ObamaCare.  Further, we must get rid of high taxes and job killing regulations that are stifling economic growth to achieve 4% or greater annual GDP Growth as the only real way to get our fiscal house in order.  This Blogger has little faith that any of these things will happen.  As such, I am doing everything I can to protect my business and my family from the fiscal calamity and civil strife on our streets that will otherwise come to our nation. 

It is very sad; but it is what it is.  Our elected leaders, of both political parties, have failed our nation to line their own pockets at the expense of the American people.  What we have is the largest pyramid scheme in world history.   And, while some people may do well in the short term, when the balloon bursts, as it surely will,  many will lose everything down the road.  Watch what is happening in cities like Detroit, Greece and Puerto Rico in the next few months.  That story is coming to a town near you.