Professor Laurence J. Kotlikoff Says USA Is Essentially Bankrupt

Professor Laurence J. Kotlikoff from Boston University.

Laurence J. Kotlikoff, Professor of Economics at Boston University, recently made the following statement in the editorial section of Bloomberg News:

"Let’s get real. The U.S. is bankrupt. Neither spending more nor taxing less will help the country pay its bills. What it can and must do is radically simplify its tax, health-care, retirement and financial systems, each of which is a complete mess. But this is the good news. It means they can each be redesigned to achieve their legitimate purposes at much lower cost and, in the process, revitalize the economy."

The article to which I am now referring was entitled: "U.S. Is Bankrupt and We Don't Even Know It," and it went into great detail regarding our current national predicament. Nor, did he make such dire statements without providing substantial evidence for openly doing so. For instance, Professor Kotlikoff pointed out the International Monetary Fund's own recent annual review of United States economic policy - which essentially pronounced America bankrupt and noted that our Federal Government would have to double our various rates of: Personal, Income, and Corporate Taxation, in order to achieve a sustainable financial balance.

American Budget Deficits, Public Debts, and Obligations Are Un-Sustainable

Money, money, money, it's a rich man's world...

As the new figures come in - from: The Federal Reserve, The United States Treasury, and The Congressional Budget Office - everyone is stating the politically unthinkable. America's: budgetary deficits, fiscal obligations, and overall debts are rapidly becoming unsustainable. Moreover, the solutions being presented are all extremely dire for our nation as a whole. Of course, if you are one of our regular readers, then you're not being caught by surprise... since we have been shouting this from the rooftops for a while now. Moreover, we are predicting much worse for the future, going forward. ***Watch this recent video clip, and read the rest of the article for our biting analysis....

Massive Spending Cuts or Value Added Taxes - probably both in near future.

If you're thinking that a Value Added Tax is equivalent to just another Sales Tax, then you're an idiot. Value Added Taxes are added to every step in the process from the production of raw materials to the retail transactions in the store. Consequently, they are a leading cause of inflation - in most western nations - which unduly harms those least capable of absorbing such egregious social effects. It amounts to a tax upon the poorest among us, since consumption bears no relative correlation to personal and accumulated wealth. The richest Americans will simply curtail their purchases commensurately, and the poorest among us will still need the very same necessities in life.