Economists Predict Cutbacks, Tax Increases That 'Aren't Even Imaginable'
American political and economic leaders have sounded the alarm for years about the red ink rising in reports on the federal government's fiscal health.
But now the problem of mounting national debt is worse than it ever has been before with -- potentially dire consequences for taxpayers, according to a report by the nonpartisan Peterson-Pew Commission on Budget Reform.
Over the past year alone, the amount the U.S. government owes its lenders has grown to more than half the country's entire economic output, or gross domestic product.
Even more alarming, experts say, is that those figures will climb to an unprecedented 200 percent of GDP by 2038 without a dramatic shift in course.
"Within 12 years…the largest item in the federal budget will be interest payments on the national debt," said former U.S. Comptroller General David Walker. "[They are] payments for which we get nothing."
Economic forecasters say future generations of Americans could have a substantially lower standard of living than their predecessors' for the first time in the country's history if the debt is not brought under control.
More from ABC News..
7 comments:
Obama's trickle up economics is just working great. What idiots the 53% of americans who voted for this fool turned out to be !!!
9:18
I am not an idiot.
Obama did not get us here.
I was you idiots that voted for Bushass.
You are both wrong!
The debt is owned by our own Federal Reserve Bank. These criminals printed their own money to buy the Treasury Bills.
They expect us to repay them for the money they printed out of thin air - and to pay it with interest!
Poppycock
The idealogues fail to see the real problem, as usual. Both Dems. and Reps. ran up the national debt to these levels. Yes, Obama is also spending but as many economists agree, temporary large deficits to get us out of the current recession are not the problem. It is our long-term liabilities (i.e. Medicare, medicaid, and social security) that are our main problem. You idealogues will jump on anything to bash the other side while letting the pols off the hook for not tackling the real issues that will have the greatest impact on our children's futures.
"Our own Federal Reserve bank huh"?
Name the members of OUR bank for me.
It is the Progressives that have ran our economy into the ground and they are on both sides of the isle.
12:33 hit the nail on the head. The progressives are on BOTH sides of the isle.
Obama = progressive
Bush = progressive
McCain = progressive
Pelosi = progressive
Reid = progressive
The progressives are destroying this country. No question about it.
Let's get them OUT!
Post a Comment