The solution is inflate the GDP. If the GDP is doubled by inflation, the debt as a percentage is halved.
The only question is when?
My guess is that the war with Iran will provide the backdrop and excuse
Everything can be inflated away except the not quite explicit Medicare obligations which are more or less open-ended promises to treat us than hard-number dollar amounts.
I figure that before they can start the hyperinflation route, they will need to change that situation from “whatever care you need, subject to death panel approval” to a certain lifetime dollar amount — which then can also be hyperinflated away.
Of course, the wild card of the new healthcare bill which limits end of life care more than the present architecture does might very well already be the cornerstone for that ultimate explicit change to Medicare.
IMHO: The major earthquake in Southern California will take the financially teetering state from its delicate balancing act into full blown collapse. I suspect there will be a domino effect of budget busting to other sovereign debts.
It is coming soon, and will make all this other stuff look like rearranging deck chairs on the Titanic.