To: muawiyah
Unfunded liabilities depend so much on demographic change, as well as the initial interest rate you want to set as a constant, they aren't worth worrying about
That seems to me like saying "Since you don't know exactly how many cars are on the freight train speeding at you, it isn't worth worrying about"
From what I read, taking into account the variabilities, we're looking at between $80Trillion and $120Trillion, with the increase about $8Trillion a year.
The lowest of the numbers in that range is greater than the sum total of every privately-owned (including businesses and corporations) asset. The $8Trillion is larger than all income over $60k, plus all corporate income period, plus the entire DOD budget combined.
13 posted on
01/06/2013 2:31:16 PM PST by
chrisser
(Senseless legislation does nothing to solve senseless violence.)
To: chrisser
What i was saying is that if you sit down and piddle around with present value analyses you can come up with all sorts of startling things.
It's rather like saying that if great great grandpa had deposited $10 in the bank in 1830 you'd be a millionaire today ~ but you're not a millionaire.
Actuaries do a bit better. Plus, some investment analysts have been sufficiently well versed in technological change they've successfully anticipated DEFLATION and negative interest rates over time.
20 posted on
01/06/2013 3:12:37 PM PST by
muawiyah
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