by Mac Slavo, SHTF Plan:
The day of reckoning is coming for the United States’ national debt and it will likely come in the form of a dollar collapse. This is a problem for every single person on the globe and it’s only getting worse.
The nonpartisan Congressional Budget Office has published its latest forecast and assessment of the nation’s fiscal health as we are bombarded with Democrat rhetoric of impossible spending measures and unfulfillable promises if only they are voted for.
Large budget deficits over the next 30 years are projected to drive federal debt held by the public to unprecedented levels—from 78 percent of gross domestic product (GDP) in 2019 to 144 percent by 2049. That projection incorporates CBO’s central estimates of various factors, such as productivity growth and interest rates on the federal debt, the latest forecast stated. This system built on debt is unsustainable. No one knows exactly when it will collapse under its own weight, only that it will.
The subjective math is just as terrifying as the picture painted by CBO. The official data is bleak, and it’s bleaker still against the backdrop of bipartisan inaction in the face of the growing problem. As forms of tax relief are cast aside by the political overlords in lieu of promises of more spending and higher taxes, the burden is ever increasing on the average American.
— U.S. CBO (@USCBO) 25 June 2019
Just the interest on the nation’s debt repayment should be enough to disgust anyone. Check out the huge chunk of (literal) red in the chart below, which demonstrates the giant crater the unfunded liabilities of Medicare and Social Security will blow in future budgets. According to Townhall, it’s important to pay special attention to the “rosy scenario” disclaimer, as well as the relatively minuscule impact of defense and war spending when it’s all said and done.
Today, CBO released the new 30-year budget baseline. It forecasts the public debt rising to 144% of GDP under *rosy scenario* — all tax cuts expire, int. rates rates remain at historic lows, no wars or recessions, shrinking DOD budget, no new govt. programs. 1/ pic.twitter.com/TmqhVI8RGd
— Brian Riedl (@Brian_Riedl) 25 June 2019
The social security Ponzi scheme coupled with Medicare will collapse the entire system. And once the age demographics are taken into account, the entire future of the nation becomes akin to a scene from a dystopian post-apocalyptic horror movie.
For now, financial markets continue to lend to the U.S. government at low interest rates. That will all change though, and it’s already starting to. The rising debt will, “Increase the risk of a fiscal crisis — that is, a situation in which the interest rate on federal debt rises abruptly because investors have lost confidence in the U.S. government’s fiscal position,” according to Philip Klein, a Washington Examinerwriter.