Posted on 04/03/2024 10:17:35 AM PDT by SeekAndFind
Most readers regularly consume staggering numbers about our debt and deficit, but not all those that report this news will put those numbers in a perspective that provides meaningful context. I will try to do that here.
The USA is on track to have a national debt of $35 trillion very soon, which is rising by $1 trillion about every 100 days. That’s $3.6 trillion every year. We’re no longer doling out free cash for COVID, so it’s a good assumption the $3.6 trillion additional annual debt is this administrations “business as usual.”
According to Financebuzz total private wealth in the U.S. is about $111 trillion. Cross-checking with other sources and doing the math; according to U.S. Census, there are 125,736,353 households and the average net worth for U.S. families according to nerdwallet is about $1.06 million, (referencing Federal Reserve Board’s Survey of Consumer Finances). This computes to $94 trillion. So, just for the sake of argument let’s round off the total privately held individual wealth in the U.S. to $100 trillion.
For the record, a lot of sources like to use “median” when presenting numbers like wealth, income, etc. Median is not mathematically useful in calculations because it is a number that is corrected by the number of values in a data set. Median income and wealth are presented substantially lower than the average (in the U.S.) because there is a smaller number of people with much greater wealth and income than those with very little wealth and income, so a “median” number will be biased by the number of people represented in the sample with very little wealth or income. I have no problem with “median” as an interesting reference, but it’s basically useless in computations.
(Excerpt) Read more at americanthinker.com ...
Is all that private wealth liquid (cash)? Nope. Americans only have about $1 trillion in liquid personal savings in the United States, the rest of that $100 trillion wealth is mostly in non-liquid assets, which cannot cover the debt if the economy crashes from debt default because current value of non-liquid assets depends on a strong and predictable economy, not a volatile one.
Is the debt being serviced entirely by private sector income? Nope. Average household incomes are $87,864. Not all of that comes from the private sector, however, so we must correct that number by income obtained from the governments from taxes paid to the governments.
I’m making the gross assumption here, just for the sake of argument, that money spent by a government eventually largely makes its way to personal income, be it thru wages, contracts awarded to companies who pay wages, service providers who pay wages, direct SSA and Medicare benefits, even the profits of privately and publicly traded companies who are paid by the government must eventually distribute those funds will pay dividends.
I don’t understand how it has gone on like this for so long.
Maybe it is like quantum physics?
Different rules at work - but not really different.
Socialism is Legal Plunder - Frederic Bastiat (1801-1850)
The USA can be turned around, I normally a very hopeful person, unfortunately we won’t turn it around until we are on the brink of civil war and maybe not even then.
When you add together the financial situation with the cultural rot in the country, throwing in uncontrolled immigration, we will eventually be like the Balkans in 1990s.
You could see a situation with rural areas fighting the urban areas, whites fighting other minorities, Muslims fighting Jews, name any two groups that hate each other and end up fighting.
AVERAGE NET WORTH PER HOUSEHOLD IS OVER $1 MILLION?????
SOME ONE CANNOT DO PROPER MATH OR THEIR BASIC numbers are all wrong.
THIS needs a review.
I MIGHT know 2-3 persons that fit this calculation of $1 M.
A couple of reasons I can think of the US dollar is the world’s reserve currency and the US is still the world’s largest economy, and if we go bankrupt the rest of the world will go bankrupt with us.
A couple of reasons I can think of the US dollar is the world’s reserve currency and the US is still the world’s largest economy, and if we go bankrupt the rest of the world will go bankrupt with us.
Because the biggest drivers are entitlements 50%.
bkmk
I believe these massive spending bills are used so the elite can use the imaginary money (fiat currency) to acquire more and more of the world’s tangible wealth. It is a massive transfer of wealth. When the bottom falls out the masses will have nothing and the global elite will have everything. This is how the beast gains complete worldwide power.
Does the author ever make a point?
Doesn’t matter. The Deep State is setting things up to take every bit of savings and retirement from every productive American. Except for certain liberals.
Too late, it’s over. The GOP is as responsible for this as the other uniparty wing.
“If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their Fathers conquered.”
attributed to Thomas Jefferson
It’s true. Just look at the values of houses, for instance.
"It’s time to declare a financial state of emergency: Putting the U.S. deficit numbers in a meaningful context"
As a side note to this thread, please consider the following.
First, the bottom line ...
The broader picture about the country's HUGE debt is this imo. Political party and media fuss about "obsolete" electoral college is because it is the only thing stopping the corrupt political parties from establishing a permanent puppet presidency that will unquestioningly sign unconstitutional taxing and spending bills into law.
Regarding the debt, thanks to corrupt federal government abuse of its 16th Amendment (16A; direct taxes) power, probably most of the nation's debt is based on unconstitutional federal government taxing and spending imo.
"16th Amendment : The Congress shall have power to lay and collect taxes on incomes, from whatever source derived [emphasis added], without apportionment among the several States, and without regard to any census or enumeration."
“If the tax be not proposed for the common defence, or general welfare, but for other objects, wholly extraneous, (as for instance, for propagating Mahometanism among the Turks, or giving aids and subsidies to a foreign nation, to build palaces for its kings, or erect monuments to its heroes,) it would be wholly indefensible upon constitutional principles [emphases added].” — Justice Joseph Story, Commentaries on the Constitution 2 (1833).
"Congress is not empowered to tax for those purposes which are within the exclusive province of the States." —Justice John Marshall, Gibbons v. Ogden, 1824.
From the congressional record:
”Simply this, that the care of the property, the liberty, and the life of the citizen, under the solemn sanction of an oath imposed by your Constitution, is in the States and not in the federal government [emphases added]. I have sought to effect no change in that respect in the Constitution of the country.” —John Bingham, Congressional. Globe. 1866, page 1292 (see top half of third column)
“Cherish, therefore, the spirit of our people, and keep alive their attention. If once they become inattentive to the public affairs, you and I, and Congress and Assemblies, judges and governors, shall all become wolves [emphasis added]. It seems to be the law of our general nature.” - Thomas Jefferson (Letter to Edward Carrington January 16, 1787)
Pelosi: "We have to pass the bill so that you can find out what is in it." (non-FR; 6 sec.)
Democrats [and RINOs] Are Terrified Of An Educated And Informed Public (3.12.23)
The remedy for unconstitutionally big federal government oppressing taxpayers who actually pay taxes under its boots ...
Trump's tsunami of Democratic and Republican patriots need to support hopeful Trump 47 with a new Congress in November that will not only support him to finish draining the swamp, but will also do the following.
New lawmakers additionally need to support Trump in leading the states to put a stop to unconstitutional federal taxes and unconstitutional interference in the affairs of the sovereign states.
More specifically, Trump needs to lead ALL the states need to effectively "secede" from the tyrannical federal government by repealing 16A and 17th (17A; popular voting for federal senators) Amendments (16&17A).
Consider the repealing of 16&17A as part of reparations for victim taxpayers of the corrupt federal government for having to pay a lifetime of unconstitutional federal taxes, taxes that Congress cannot reasonably justify under its constitutional Article I, Section 8-limited powers and a few other constitutionally enumerated expenses.
Again, the broader picture is that corrupt political party and media fuss about "obsolete" electoral college is because the electoral college is the only thing stopping the corrupt political parties that have pirated control of state and federal governments from establishing a permanent puppet presidency that will unquestioningly sign unconstitutional taxing and spending bills into law.
RE: AVERAGE NET WORTH PER HOUSEHOLD IS OVER $1 MILLION?????
I think they add up the price of property ( home ) plus the value of their retirement accounts ( 401K ).
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