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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 368.29+0.6%4:00 PM EST

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To: TobagoJack who wrote (22299)9/12/2007 6:51:17 AM
From: KyrosL  Read Replies (1) of 217566
 
>>unfunded public pension/medical<<

TJ, that is of course the elephant in the room, and IMO, you can't credibly calculate it without knowing the future. Those unfunded liabilities drop dramatically, if we change even slightly retirement age and health delivery method. Both will change substantially in the next decade or so.

Most countries, including China, are bankrupt, if the same method is used to compute unfunded liabilities. The key assumptions in these calculations is how fast a country's population is aging and current retirement age. On that measure the US is in pretty good shape, even compared to China.

Notice that before Clinton took office, people were expecting huge budget deficits "as far the eye could see". He managed to almost completely balance the budget in eight short years.
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