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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Tenchusatsu who wrote (740719)	9/20/2013 3:48:42 PM
From: FJB	3 Recommendations Recommended By Blasher i-node joseffy Respond to of 1576073

If interest rates return to even half of historical long-term averages, we are facing an extra $1 trillion a year just in interest expense. We are already running $1 trillion a year deficits without that added burden. Throw Obammycare, Social Security deficits, Medicare deficits on top and that is all she wrote. We are pretty much insolvent right now...

To: Tenchusatsu who wrote (740719)	9/20/2013 3:52:06 PM
From: i-node	Read Replies (1) \| Respond to of 1576073

>> That's quite an exaggeration. In 1965, when selling Medicare, it was projected to cost $12 Billion in 1990 (25 years later). Actual cost came in at $98 Billion. In 1987, it was projected that Medicaid "special relief" payments five years hence would run $1 Billion. In 1992, actual cost: $17 Billion. For Obamacare, the projections will be off by an order of magnitude, as the federal government has to step in and pay for unfunded mandates for new Medicaid recipients. Now, it is true -- I won't be on here in 40 years to see who was right. But I will have been closer than any other projection you've seen to date. And even if I'm wrong by half, it will leave the country so deeply in debt that it cannot survive it, at least not in any recognizable form.

To: Tenchusatsu who wrote (740719)	9/25/2013 5:02:34 PM
From: FJB	Respond to of 1576073

The CBO estimates that by 2020 total debt held by the public will be $16.6 trillion as a result of the rising accumulated debt. Do the math: If we were to pay an average interest rate on our debt of 5.7 percent, rather than the 2.4 percent we pay today, in 2020 our debt service cost will be about $930 billion. Now compare that to the amount the Internal Revenue Service collects from us in personal income taxes. In 2012, that amount was $1.1 trillion, meaning that if interest rates went back to a more normal level of, say, 5.7 percent, 85 percent of all personal income taxes collected would go to servicing the debt. No wonder the Fed is worried. Message 29132163