Open Letter to U.S. Citizens
How "The Rich" got rich!
March 25, 2015
The U.S. Government is running a massive Ponzi scheme, which I have named USAPonzi, that makes the people in the U.S. Government (the ruling class) appear very prosperous and makes the people in the U.S. upper class appear super prosperous and super rich. This is caused by the U.S. Government promising to pay social benefits to U.S. residents but not funding these future promises. This has created a classic Ponzi scheme. USAPonzi has made unaffordable social benefit promises to U.S. residents that can only be paid to the current recipients with money that is being paid in each year by the U.S. taxpayer or with borrowed money.
Because the upper class U.S. citizens and businesses have not had to pay the taxes required to fund these future social benefit promises or to pay for our cash deficit spending they appear to have gotten richer by over $100 Trillion. Simple as that. It pays to have good friends in Washington.
The U.S. Government is lying to you by promising to pay you social benefits that the U.S. taxpayer cannot afford. The U.S. Government is cheating you by not funding the social benefit trust fund that is required to be able to pay these social benefit promises. The U.S. Government is paying itself, its direct and indirect employees, and its supporting businesses much more than the U.S. taxpayer can afford.
The U.S. Government is not taxing the U.S. citizens and
businesses nearly enough to pay our current year expenditures. The
U.S. Government is pretending to collect taxes from you to fund the social
benefit trust fund but is immediately "borrowing" these paid in
Social Security and Health Care taxes and using that money to help overpay
itself, its direct and indirect employees, and its supporting businesses. The
U.S. Government is not collecting nearly enough tax revenue to pay the future
social benefit promises that the U.S. Government has made to you.
The U.S. Government is using a corrupt and fraudulent accounting system to help conceal the fact that it is not funding the social benefit trust fund. The U.S. Government is using Cash Accounting vs. the proper GAAP (Generally Accepted Accounting Principles) Accounting. Cash Accounting only assesses the tax revenue required to pay for current year expenditures. GAAP Accounting also assesses the additional tax revenue required to properly fund the social benefit trust fund to pay for future year social benefit expenditures.
As a result of these actions, the U.S. Government now has debt of $18.1 Trillion, has Unfunded Liabilities of $82.8 Trillion (this is my estimate since the U.S. Government does not report with GAAP Accounting), has ZERO dollars in the social benefit trust fund to pay for your social benefit promises when they need $87.9 Trillion to pay the current promises, has overpaid the direct and indirect Government employees and their supporting businesses by $18.1 Trillion, and has undertaxed the U.S. citizens and businesses, primarily the richest people and the most prosperous businesses, by $100.9 Trillion.
This means that essentially all of the apparent wealth of the U.S. upper class is counterfeit money introduced by U.S. Government fraud, created by undertaxing the upper class and deferring these massive liabilities to the future U.S. taxpayer.
www.usdebtclock.org reports U.S. Government GAAP basis Unfunded Liabilities of $95.6 Trillion which is even more than my estimate of $82.8 Trillion.
This means that the people that work for the U.S. Government are doing great because they have been overpaid by $18.1 Trillion. This means that the most prosperous people and businesses appear to be doing really really great because the U.S. Government has undertaxed them by $100.9 Trillion. This means that if you do not work for the U.S. Government (the ruling class), are not in the upper class, and are counting on Social Security, Medicare, or other social benefits you are in deep trouble because the U.S. Government has made you false promises of $87.9 Trillion and instead of keeping those promises has given $100.9 Trillion of counterfeit money to the ruling class and the upper class.
This is how the U.S. Government has made "The Rich" so rich; by using corrupt and fraudulent accounting to cheat the Common Man and at the same time overpaying themselves.
The people in the U.S. Government love this fiscal policy because they have paid themselves $18.1 Trillion more than the U.S. taxpayer can afford. The people on Wall Street and in the upper class really really love this fiscal policy since it appears to have given them $100.9 Trillion. The rest of the U.S. citizens (the "Common Man") are headed toward financial devastation as a result of these actions and lies by the U.S. Government.
See Cheating the Common Man! on www.usaponzi.com for more details about this U.S. Government fraud and the resulting Ponzi scheme which I have named USAPonzi.
This situation can only be resolved by the U.S. Government adopting GAAP Accounting and committing to a nominally balanced GAAP basis budget. This will ensure an equitable and sustainable Fiscal Policy.
John W. White