No wonder Burnanke wants to leave

The Treasury Department doesn’t include obligations for Medicare, Social Security, Medicaid, and federal and state pensions when they are calculating the federal debt.  Which is good, because THAT number is already at $86.8 trillion and expected to rise to $220 trillion.  In order to cover that would require the IRS collecting $8 trillion a year, instead of the $2.1 trillion they currently collect.  If they took ALL the income of everyone making more than #66K a year and ALL the income of all the companies in the US, that would be $6.7 trillion a year available to be taxed.  Even taxing 100% of that, ie taking ALL of the income, won’t cover the liabilities.

Means that there is no way to  tax ourselves out of this.

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About drrik

3rd career and 2nd childhood. Spends spare time repairing old things. Aspires to burn more gasoline, gunpowder, and ink in pursuit of slowing down. Child of the 60s and aspiring student of history. No desire to see us repeat the failed social experiments that keep failing for lack of human beings that meet the left wing standards and have to be killed off. Did engineering long enough to realize that very little is new and the wheel does not need to be reinvented.
This entry was posted in bailout, constitutional, economy, election, Obama, socialism and tagged , , , , , , , , , , . Bookmark the permalink.

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