Ryan to the rescue? NO!
Bowles Simpson to the rescue? NO!
The Fed printing more money? YES!
Paul Ryan has a plan. A good one I think as a start. This plan reduces the budget DEFCIT by 2023. Did anyone catch that? This does nothing to the national debt. It is simply designed to stop adding to the debt by then. And $17 Trillion is Upon US!
We spend so much that if we make dramatic changes today – which are a requirement to survive ourselves – then we balance the corporate books. In other words we borrow more and more up to that time.
Will tax reform help – NO! Will Medicare and Medicaid reform help – NO! Will Social Security reform help – NO! Why? It will never get done and even if some changes occur it will be piecemeal at best. And so I make this clear – it matters little because those programs are Ponzi schemes – and yes Gov. Perry, banished for saying it, was right. They own trillions of US debt. So even if incremental changes are made they still are holding a bag.
WE WILL HIT A BRICK WALL. Our society is reactionary:
We will not respond until absolutely forced to.
We will print more and more money and crater our currency as Soros helped do with the British Sterling.
We will use the FED buy back more and more of our debt until Americans own so much of it we choke.
China, Russia, Brazil, Japan or another nation will sell some of our debt because it’s a bad investment or they do not want to buy anymore. We cannot finance our way of life unless we rob more money from our coffers.
Then we print more money to buy more of our debt – so we can finance it – but the run on the Baily Bank and Trust would be happening anyway around the world – no buying enough debt or selling it.
US full faith to back its currency and debt collapses.
Our way of life comes to halt and chaos on a global scale happens.
There is the playbook.
Will Ryan’s plan save us. No! No one has the guts to do it and no one will agree to it anyway.
Will the Bowles Simpson plan work. No! No political will to change.
Will the appropriate massive – utterly massive spending cuts; reorganization of our government, commercialization of many parts of it and drastic changes to the way our country is run happen? NO! We simply cannot change – until we are forced to.
I pray I am wrong and my hope is we implement the Bowles Simpson plan this year.