Chapter 11 Cheating the Planet!
November 22, 2015
The United States of America is cheating the rest of the planet by writing hot checks. So far we have written, according to usdebtclock.org Nov 22, 2015, $99.8 Trillion worth of hot checks. The total amount of the hot checks that the U.S. Government has written is measured by our public liabilities which is the sum of our National Debt and our Unfunded Future Liabilities. The U.S. Government is running a Ponzi scheme that is pushing forward public liabilities to the future U.S. taxpayers who can never pay these liabilities so our GAAP basis deficit spending, which creates these public liabilities, is doing nothing but writing hot checks, i.e. creating counterfeit money.
For the global economy to give everyone on the planet a fair shake, we must establish a global standard that every sovereign entity must operate with GAAP (accrual) accounting and with a nominally balanced GAAP basis budget. The U.S. dollar has become the standard global currency primarily because oil is priced in dollars and the U.S. Government has been handing out counterfeit U.S. dollars to the U.S. citizens and businesses since FY1969 at an exponentially increasing rate. We get "free money" that the rest of the world cannot produce.
The U.S. Government gives U.S. residents at least a living/sustaining income of social benefits with counterfeit money, gives government employees a comfortable to opulent lifestyle with counterfeit money, and gives the upper class an opulent to super opulent lifestyle and makes them rich to super rich with counterfeit money.
This is the reason that we appear to be the most prosperous, productive and successful country on the planet. We just blatantly print counterfeit money at an ever increasing rate. Not by the Federal Reserve Bank but by the U.S. Government! And even within the U.S. we misappropriate this counterfeit money by giving almost all of it to the upper class citizens and businesses. By using a corrupt and fraudulent fiscal policy and a corrupt and fraudulent accounting system, the upper class is given the money that should be funding the social benefit promises and the money that the U.S. Government is using to overpay itself. Yes, we give enough counterfeit money to the Common Man and Government employees so they can buy stuff to make the economy look like it is producing something but most of this counterfeit money ends up in the pockets of the upper class citizens and businesses.
To cover these hot checks that we have written, we will have to borrow an ever increasing amount of money and who in their right mind would loan money to someone that has already borrowed $18.7 Trillion, has already written $99.8 Trillion worth of hot checks, and is writing $5.9 Trillion worth of hot checks in FY2016.
The U.S. Government is lying to and cheating the rest of the planet by passing out counterfeit money to U.S. citizens and businesses.
The U.S. Government is lying to and cheating the Common Man by not funding the social benefit promises it has made.
By the U.S. Government lying to and cheating the planet and the Common Man, the U.S. Government has been able to overpay itself by $18.7 Trillion.
By the U.S. Government lying to and cheating the planet and the Common Man, the U.S. Government has been able to give the upper class citizens and businesses an opulent lifestyle and appear to make them super rich by giving them $99.8 Trillion of counterfeit money.
The U.S. Government is promising to pay social benefits to U.S. residents but is not fulfilling these promises by not funding the social benefits trust fund so that it can undertax the upper class citizens and businesses to make they appear to be super rich.
The U.S. Government is misappropriating the tax revenue paid by U.S. citizens to fund their Social Security and Medicare benefits by spending that money to overpay themselves, their direct and indirect employees, and their supporting businesses.
The U.S. Government is just flat giving counterfeit money to the upper class citizens and businesses by not taxing them as would be required to pay the social benefit promises that the U.S. Government has made.
The U.S. Government must adopt GAAP (accrual) Accounting and commit to a balanced budget to provide a level playing field for the U.S. Common Man and for the rest of the planet.
But we cannot stop there, we must establish fair and equitable accounting for all countries not just the U.S. All countries must adopt proper/accrual accounting and operate their governments with a balanced GAAP basis budget.
You can appear to rule the planet when you can print your own counterfeit money but at some point the rest of the planet is going to call "bullshit" and say enough is enough.
Our public liabilities of $99.8 Trillion are counterfeit money that will evaporate into 'thin air" when USAPonzi implodes.
Financial data was sourced from usdebtclock.org Nov 22, 2015.
Continue to: 12 The End Game for USAPonzi Table of Contents