The most important is of course the national debt. Compound interest will multiply 3 times the current outstanding debt instruments in 30 years. No amount of surplus can be generated to support that rate. The present situation is really with us since the debt started. That is the FEDS never were able to place all the refunding. (Japan only has $1.3 trillion U.S. currency and China has $200 billion) While we need $6 trillion debt servicing today. Eisenhower had $1 trillion debt. 30 years later Bush had $4 trillion. At the low 6.5% compound interest, $1 trillion debt became $3 trillion just adding the interest payments. The situation today is that debt refunding not sold is bought by the treasury. And it should buy back more debt by printing more money now; so we do not have to pay out the compound interest, later. This is going on, as we speak.
401k is not managed as well as pension; and no one guarentees anything. You can wake up one morning and you do not have a cent in 401k to retire on. We have to be healthy and work everyday of our life. Not because we need the aggrevations, but because we need to have a work place to go. You don't use it, you lose it. You live longer if you are needed. Retirement, it is the grave. What do you do with your time. If we can provide job growth then you can have a choice of work you like to do. So, 401k will never be withdrawn but will continue to increase. Social security as a safety net should never be touched, but we are weening people back to the job market.
I hope the simple solution of good health by good food, good company, and good living meets your approval. Because that is the stronger America. We have gotten rid of zero population growth; so that economy will grow 4-5% with 1%/year population growth. There are still many problems left. Next year we will be working on financial services (specifically insurance), land developments, and maintaining this year's growth programs for travel, entertainment, religion, education and housing. In 1999, America, Inc. will bring the mass distrbution technology around the world. World economy will double as we have enjoyed here. |
