The gov is running 1 TRILLION $ a YEAR in additional deficits.
A friend of mine became a US citizen in August. As a gag gift I handed him a bill for his share of the national debt. It totaled $1,012,038 per citizen (not per tax payer which is a much smaller population to distribute the bill across) not including local bonds collected through property taxes.
Maybe it should be shutdown to stop the bleeding.
Where did you get $1 million per citizen? It is a lot lower than that.... about $67k.
Where did you get $1 million per citizen? It is a lot lower than that.... about $67k.
No actually the source that you referenced is wrong... much of what they include as liabilities would NOT be recognized as liabilities by a public corporation. The $30.8 trillion of SS shortfall and $34.6 trillion of Medicare shortfall would not be accrued as a liability under GAAP (I spend my career in corporate accounting and know this well).
The SS shortfall is not a liability... there is no legal obligation to provide what is promised and that is why benefits may be reduced by 23% in 2034... the only obligation is to provide benefits to the extent that tax revenues allow... even if a liability was recognized it would be mesured as zero because the PV of future benefits is equal to the PV of future tax revenues since once the trust fund runs out benefits are limited to revenues.
The same concept would apply to the Medicare liabilities... there is no legal obligation to provide specified benefits. If a public company reporting under GAAP had the same obligations they would not be recognized because there is no legal obligation to provide specified benefits.
The $9.2 trillion, $7.7 trillion of which are liabilites for employee and veterans benefits, is probably valid. Similiarly though, the other thing to consider is that land and buildings owned by the US government are not recognized as assets in their financial statements and those have considerable value. https://fiscal.treasury.gov/files/r...eport/notes-to-the-financial-statements24.pdf
I'm so confused we shut down a government over one demand, where in the interim government employed DoD personell are filling the gap for the aforementioned demand. So basically isn't this just shooting one's self in the foot, if we shut down the troops and support that protect our borders (TSA, border patrol, national guard, soldiers, military etc) then we are effectively weakening the border, as a barter to strengthen it? Anyone else confused?
I'm not sure how that relates to the point that we were debating, but whatever. Under current law, SS benefits will be paid to the extent of taxes collected once the trust fund runs out in 2034 or so...thus no liability to be recognized.Technically congress can completely eliminate SS and medicare with the stroke of a pen. While its hard to imagine senior citizens rioting, there would be proverbial torches and pitch forks. The reality is those funds are either going to be paid (recognize it as a debt owed) or plan for martial law scenarios equivalent to defaulting on the "recognized" debt.
The $1M is calculated using the GAAP accounting rules that corporations have to use. The main 21T debt figure does not include "unfunded liabilities"
that GAAP standards would force a corp to include like retirement obligations. Those additions alone bring the debt up to just under 100T.
They were all IPAs anyway. They can't seem to release any of the other dozens of stylesOk, this may affect some of you:
Local breweries can't release new beers nationally due to government shutdown
Breweries making new labels for national releases need federal approval, which is on hold right now during the shutdown.
https://www.kgw.com/article/news/lo...down/283-13c7ceac-aaae-430f-80a3-0c78597dfaa4
My SIL just got her furlough notice (contract worker for National Weather Service). Thankfully, she is pretty smart when it comes to money, so she is looking forward to the "down time".
Just met some furloughed folks down here on the beach in Florida who are just digging the sunshine. Snow where they're from.
Lemons/lemonade in their mind I suppose.
I would love to have us adopt something similar to Israel.... if the Knesset doesn't pass a budget before it is due then the Knesset is disolved and new elections are held. If Congress doesn't pass a budget within 3 months of the start of the fiscal year then Congress is disolved and new elections are held.
Given our congresscritters insatiable thirst for self-interest, do you think that we would ever have a government shutdown if we had something like that in place?