START A PETITION 25,136,189 members: the world's largest community for good
START A PETITION
x
Sep 22, 2012

We Can’t Ignore It: America’s Going Broke

Friday, September 7th, 2012
By George Leong, B.Comm. for Profit Confidential

We Can’t Ignore It: America’s Going BrokeThe U.S. national debt just surpassed the $16.0-trillion level and is accelerating with each passing minute. The problem is that with the U.S. economy slugging away and an unemployment rate of 8.3%, there are also less tax revenues to collect, which will ultimately impact the government’s balance of tax revenues and spending.

Ironically, while the U.S. is advising the eurozone countries to deal with their own European debt crisis (read “Global Economies Waving a Red Flag&rdquo, there is a growing and significant debt issue at home, but no one seems to want to discuss this.

I’m sure the pre-election talks will focus on the debt problem.

Spain has a national debt of around 712 billion euros, about US$892 billion or about US$19,391 per citizen. The European Central Bank’s (EC bond-purchasing program will help in the short term, but there needs to be a longer-term solution to deal with the financial crisis.

But while the economic situations in Spain, Italy, Greece, Portugal, and Ireland look bad, everyone seems to be somehow ignoring the massive $16.0 trillion of national debt in the U.S. That’s $50,921 per citizen, or more than double the debt of the Spaniards. The U.S. national debt is mounting and not going away anytime soon. Worst of all, it’s growing at an alarming rate every minute. The only plus here is the country’s low bond yields. If the U.S. had to pay out the high yields Spain does, the U.S. would be broke and facing a credit crisis.

This national debt will take decades to pay off or even get it to more manageable levels.

The reality is that something drastic needs to be done regarding the national debt, or the country’s financial strength will go down the toilet!

Never mind talking about European debt issues, just look at the work to be done in our own backyard.

Whether it’s President Obama or Republican hopeful Mitt Romney, I don’t care; but the next president will need to focus on deficit cuts and reducing or corralling the national debt, along with a strategy for some of the states to shore up their financial condition.

The problem is that a significant cut in fiscal spending could make the economy worse, according to the Congressional Budget Office (CBO). The CBO predicts the U.S. economy could contract by 0.5% in 2013 if the spending is curtailed.

While there is no indication of what area the major cuts will affect, they will likely be from the top-six budgetary areas: Medicare/Medicaid, social security, defense/wars, income security, interest on the debt ($225 billion!), and federal pensions.

In my view, the additional cuts could likely be in the social security and, possibly, federal pensions areas. In reality, cuts and austerity measures are required.

The U.S. Treasury cannot continue printing money and hope the national debt problem goes away; the days of easy flowing money are over. Action must be taken.

The market has focused largely on the debt crisis developments in the eurozone and in the process has ignored this country’s own debt and deficit issues.

Visibility: Everyone
Posted: Saturday September 22, 2012, 3:32 pm
Tags: [add/edit tags]

Group Discussions
Comments
Or, log in with your
Facebook account:

Author

Micheael Kirkbym
male, age 63, single
Toronto, ON, Canada
MICHEAEL'S SHARES
Oct
28
(0 comments  |  discussions )
\nBelow is South Of France\'s response to my e-mail of yesterday. Much as Jordan\'s cereal has decided, South of France states it will not cease using Palm Oil. I include my response to them at the bottom of their e-mail.\r\n\r\n\r\n\r\nSO F soaps and the use of ...
Oct
27
(0 comments  |  discussions )
\nI recently just sent an e-mail to South of France soaps; one of my favorite products. Upon reading the label I found that they use palm oil. Below is a copy of the e-mail I just sent them.\r\nIf you wish to contact them and urge them to cease using pal...
Oct
9
(0 comments  |  discussions )
\n   \r\n\r\nBill Gates: Satanist In Sheep\'s Clothes?Theosophy And The \'New Age\'By Henry Makow PhD7-9-6\r\n\r\n\r\nWhen Warren Buffet gave $31 billion to Bill Gates\' Foundation last week, I assumed it would advance the New World Order. But when a reader s...
Apr
1
(0 comments  |  discussions )
For those of you who have wondered what a Delaware Corporation is here\'s a useful website. http://www. delawarebusinessincorpora tors.com


SHARES FROM MICHEAEL'S NETWORK
Feb
18
(0 comments  |  discussions )
\\n\\r\\nHello my C2 Family, \\r\\nFirst let me say Thank You to those of you who have so sweetly fwd my posts. You are SO AWESOME!! I will never forget your help. Anytime I can repay the favour, please tell me. Second, my Submit button has disappeared lea...
Feb
13
(0 comments  |  discussions )
Wanted to say that I try not to do too many forwards to my Friends.  When I do forward an article or petition, I hope you k
Feb
11
by Kyra H.
(0 comments  |  discussions )
\\n   &nbs p;I found an easy way to send Green Stars to Friends easily also and I don\\\'t know if I was the only one to find it difficult returning stars or not but I\\\'m posting this anyway in case.\\r\\n \\r\\n&n bsp;    If...
Feb
4
by Kyra H.
(0 comments  |  discussions )
\\n   &nbs p; I am making this Share because I figure I\\\'m not the only one who had difficulty in figuring out to return Green Stars. I asked several friends and got 2 answers both of which were right.  I can\\\'t for the life of me re...
by Kyra H.
(0 comments  |  discussions )
\\n   &nbs p; I basically just wanted to explain why some times there are 3 or 4 days when you don\\\'t get any stars back or comments from me on the cards I receive. Most of you know that I am disabled and therefore should supposedly be fr...


MORE MESSAGE
Mar 31
Message: what's going on?... by Apolonia P.
(1 comments  |  discussions ) — \\nZEN was suspended by Eric with no warning. We don\\\'t know any reasons nor how long it will last....\\r\\nI asked about it on the forum but my post was immediately deleted. 2 threads and petitions about Zen also. And 2 her help-groups. :-(\\r\\nUntill to... more
Feb 17
Message: Petitions that stop abuse to the speechless by Aza A.
(0 comments  |  discussions ) — \\nCan someone please tell me why petitions that want to end animal abuse,end the on going pain being inflected on the poor helpless animals. Paim that only ends when the animal dies.\\r\\nIs it that the 23 plus million members don\\\'t care or understand ... more
Message: Thanks by Gail B.
(0 comments  |  discussions ) — \\nThank you all for the warm welcome, still learn how to use the site.\\r\\nMay the grounds you set your feet upon be blessed every step of the way.\\n more
Feb 15
Message: My Daughter's Friend Needs Help by Cameron F.
(0 comments  |  discussions ) — \\nThis is Venus Marquez\\\'s friend, Gina Arellano. Venus is a friend of my daughter Nikka.  She seems to be covered in rashes/sores due to possibly chickenpox and needs to raise at least 200 Euros - about $275 US - to cover medical expenses.\\r\\nIf... more
Feb 13
Message: Free Puppy Ads In Terrifying Abundance! by Karen O.
(0 comments  |  0 discussions ) — I was so upset, when on my homepage, in the news section...there appearred, all sorts of advertisements all over, for free puppies...these are surely going to reappear in the future,  as horrific abuse cases.  What is wrong with people? Do t... more
 
Content and comments expressed here are the opinions of Care2 users and not necessarily that of Care2.com or its affiliates.