How much money is 2.5 Trillion Dollars?
February 1, 2016
As Posted on www.usaponzi.com
This is what you could buy with the U.S. Government’s distribution of $2.5 TRILLION of counterfeit money to U.S. citizens over just the last 4 months:
10 Million Houses @ $250,000 each = $2.5 TRILLION
62.5 Million Cars @ $40,000 each = $2.5 TRILLION
13,888,889 Semi Trailer Trucks @ $180,000 each = $2.5 TRILLION
12,500 Airplanes (Boeing 767s) @ $200,000,000 each = $2.5 TRILLION
3.3 Billion Smartphones @ $750 each = $2.5 TRILLION
1,667 Skyscrapers (Burj Khalifa copies-the tallest skyscraper on the planet) @ $1,500,000,000
each = $2.5 TRILLION
Free Money to 322,000,000 U.S. Citizens @ $7,764 each = $2.5 TRILLION
The U.S. Government has distributed $2.5 Trillion of counterfeit money to U.S. citizens just over the last 4 months or $7,764 on average to each citizen. Did you get your money? Probably not unless you are in the upper class.
When we are discussing the finances of the U.S. Government the numbers are so big we cannot relate to them very well. In this commentary I am attempting to bring these numbers into terms that we can more easily comprehend. But before I do that I am going to stay with the big numbers for a moment to assess just how much Debt and Unfunded Liabilities (GAAP) we have accumulated since the end of fiscal year 2015 (FY2015). FY2015 ended September 30, 2015 just 4 months ago.
On September 30, 2015 we had National Debt of $18.15 Trillion and Unfunded Liabilities of $98.5 Trillion. As of February 1, 2016 we have National Debt of $18.96 Trillion and Unfunded Liabilities of $101 Trillion. In just 4 months our National Debt has increased by $810 Billion and our Unfunded Liabilities have increased by $2.5 Trillion. This means that the U.S. taxpayers have been undertaxed by $2.5 Trillion over the last 4 months so in effect the U.S. Government has given the U.S. citizens $2.5 Trillion. I refer to this as $2.5 Trillion of counterfeit money since the current U.S. taxpayers get to keep that money but the future taxpayers are expected to pay it and where will the future U.S. taxpayers come up with the now $101 Trillion that is increasing by $16.1 Billion every day. The future U.S. taxpayers can't pay these Unfunded Liabilities so undertaxing the U.S. citizens is just passing out counterfeit money.
So the U.S. Government has given the U.S. citizens and businesses $2.5 Trillion over just the last 4 months. Let's see what that $2.5 Trillion would buy and see how much money each citizen would receive if the U.S. Government was to equally distribute this counterfeit money to all citizens. The way the U.S. Government hands out this counterfeit money now, the upper class citizens and businesses get to keep most of this money as unpaid taxes. The upper class citizens and businesses are the only candidates that would have the funds to pay these taxes. This is what is causing the "Wealth Gap", the U.S. Government is dramatically favoring the upper class with its corrupt and fraudulent fiscal policy and accounting system.
But let's assess what this $2.5 Trillion of counterfeit money that the U.S. Government has distributed over the last 4 months would buy in terms of houses, cars, trucks, airplanes, smartphones and skyscrapers. The airplanes that I am buying are Boeing 767s and the skyscrapers that I am buying are copies of the Burj Khalifa the tallest skyscraper on the planet that was built in Dubai at a cost of $1.5 Billion. This table shows what this $2.5 Trillion would buy if one were to spend it all on that one item.
Cost Number Purchased
Houses $250,000 10,000,000 Installed base of about 115 Million
Cars $40,000 62,500,000 Installed base of about 250 Million
Trucks $180,000 13,888,889 18-Wheelers I found one used for $180K
Airplanes $200,000,000 12,500 Boeing 767s
Smartphones $750 3,333,333,333 Nearly twice the worldwide installed base.
Skyscrapers $1,500,000,000 1,667 Burj Khalifa copies-tallest skyscraper on the planet
Citizens $7,764 322,000,000
The U.S. Government has distributed $2.5 Trillion of counterfeit money to U.S. citizens just over the last 4 months or $7,764 on average to each U.S. citizen. Did you get your money? As I say, probably not unless you are in the upper class. I estimate that Warren Buffett makes $9 Million a day from this fraud so he has gained (123 days X $9 Million =) $1.11 Billion since September 30, 2015. This is why the rich are getting richer.
Authors Note: Warren Buffett actually made more than $1.11 Billion over the last 4 months from this fraud because the U.S. Government went on a borrowing binge immediately after the end of FY2015 when U.S. Congress finally gave up and suspended the Debt Ceiling so they could overpay themselves as much as they want to. The U.S. Government is claiming that our Cash basis deficit spending will be ONLY $433 Billion in FY2016 but they have already borrowed $810 Billion in the first 4 months of FY2016. Our GAAP basis deficit is predicted to be $5.83 Trillion for FY2016 but we have already incurred $2.5 Trillion of that in the first 4 months, but as I say that is because of the binge borrowing as soon as the Debt Ceiling was suspended. When the U.S. Government incurs a GAAP deficit the upper class U.S. citizens and businesses get richer by the amount of that GAAP deficit.
The absurd fiscal policy and accounting system of the U.S. Government has produced enough counterfeit money over the last 4 months to build 1,667 skyscrapers (and not your "run of the mill" skyscrapers but the tallest skyscraper on the planet) or 3.3 Billion smartphones or 10 Million houses.
And what is even more absurd is that the future U.S. taxpayers now have a total deferred tax bill of $101 Trillion which is 40X the amount of counterfeit money that has been produced in the last 4 months. The future U.S. taxpayers now owe the U.S. Government 66,680 skyscrapers or 400 Million houses or 2.5 Billion cars (@ $40,000) which is 7.76 of these cars owed by every current U.S. citizen.
The U.S. Government is creating counterfeit money out of "thin air" by making the basic assumption that the future U.S. taxpayers will be able to pay an infinite amount of taxes. When you start playing with monopoly money, like we are doing, you can quickly lose sight of reality. And the sad thing is we are all pretending like this counterfeit money has real value.
This is why I say that the U.S. Government is filled with Scoundrels, Liars, and Cheaters!
This is why we are creating bubbles in all asset classes, the U.S. Government is issuing counterfeit money so that we can buy things we cannot afford. We have bought and/or built a lot of houses, cars, trucks, airplanes, smartphones and skyscrapers with the counterfeit money that the U.S. Government is issuing with its corrupt and fraudulent fiscal policy.
The U.S. Government is lying through its teeth so it can borrow money ($18.96 Trillion) to overpay itself, so it can undertax its rich friends ($101 Trillion) to make them appear to be very rich, and so it does not have to fund the social benefit promises it has made ($82.1 Trillion) to the Common Man.
Now how do you feel about the people we have elected to run our Government?
This commentary shows what $2.5 Trillion of counterfeit money will buy and the U.S. Government is underwater by $101 Trillion because of this Ponzi scheme fiscal policy. We have a serious problem.
USAPonzi is creating an ever increasing amount of counterfeit money that will continue on a path toward infinity until USAPonzi implodes; $2.5 Trillion over the last 4 months and $101 Trillion over the last 47 years. The rate at which the U.S. Government is creating counterfeit money is picking up pace but that is what happens when our GAAP basis deficit spending is increasing exponentially.
Because the U.S. Government has distributed this now $101 Trillion of counterfeit money, we have bought and built many things that we cannot afford creating bubbles in all asset categories. We have too many houses, cars, airplanes, smartphones, and skyscrapers that we cannot afford. We must adopt an accounting methodology that supports a sound financial system for the U.S. Government and the planet. We cannot pay for the houses, cars, airplanes, smartphones, and skyscrapers that we have already bought and built because the future U.S. taxpayers cannot pay the public liabilities that were incurred so that the U.S. Government could distribute this $101 Trillion of counterfeit money.
When USAPonzi implodes, this $101 Trillion of counterfeit money will evaporate into the "thin air" from whence it came.
The Scoundrels, Liars, and Cheaters in the U.S. Government have borrowed $101 Trillion from the future U.S. taxpayers so that they can pay themselves $18.96 Trillion with counterfeit money and can make their friends in the upper class appear to be $101 Trillion richer with counterfeit money. This is "The Ultimate Government Fraud".
But that is precisely why the U.S. economy looks to be as strong as it does, the U.S. Government has magically created $101 Trillion of counterfeit money so that we can have 1.75 Billion smartphones on the planet, 250 Million automobiles in the U.S., 18 Million new automobiles in the U.S. in 2015, 20,000+ jetliners on the planet, 120 thousand new homes in the U.S. in 2014, luxurious homes for the upper class citizens, private airplanes for the super wealthy, skyscrapers in the Middle East, ghost cities in China, a mirage in the desert (Las Vegas), massive warring capability throughout the planet, to name just some of the dramatic excesses that this Ponzi scheme fiscal policy has produced.
By the way, if we spent all of that $2.5 Trillion of counterfeit money on Semi Trailers we would need a 66 lane highway from New York City to Los Angeles just to park them! No wonder we have traffic jams. We are buying our cars and trucks with counterfeit money created by U.S. Government fraud.
If we spent this $2.5 Trillion of counterfeit money on Toyota Corollas ($17,300) we could get 144 Million cars but would need a 148 lane highway from NYC to LA to park them. And this is just with 4 months of fraud by the U.S. Government. But it would a big boost to the economy in Japan.
The U.S. Government produced enough fake money in 4 months to buy 144 Million Corollas with a simple little accounting trick; by using Cash Accounting rather than the proper GAAP Accounting.
I hope this commentary explains how $101 Trillion of counterfeit money can buy and has bought a lot of stuff that we cannot afford. But this is why almost everyone in the U.S. has access to a car, a color TV, and a smartphone.
The financial data present in this commentary was sourced from www.usdebtclock.org and www.treasurydirect.gov.