The debt explained in a photo.

[Hobie]

Frightening, eh?

[slow99]

I've been posting for years that by the CBO's own projections we're about $55-60 trillion in debt. That article you referenced has been out for a while. I've always meant to dig into this guy's calculations and how he arrived at those numbers... but yeah, it's bad. If the US were a corporation, we'd have a junk rating.

[Hobie]

I've been posting for year that by the CBO's own projections we're about $55-60 trillion in debt. That article you referenced has been out for a while. I've always meant to dig into this guy's calculations and how he arrived at those numbers... but yeah, it's bad. If the US were a corporation, we'd have a junk rating.

From what I've read over the last couple years on financial websites we're in a lot deeper shit than politicians and talking heads ever bring up.

This single photo seems to be the easiest way to visualize what I've read in numerous editorials.

Your opinion on finance is one of the few on this site I respect.

[slow99]

From what I've read over the last couple years on financial websites we're in a lot deeper shit than politicians and talking heads ever bring up.

This single photo seems to be the easiest way to visualize what I've read in numerous editorials.

Your opinion on finance is one of the few on this site I respect.

Thanks for the kind words. The difference in reported and actual numbers lies in the un- under-funded liabilities. The CBO actually produces a set of financial statements every year (statement of cash flows, balance sheet, income statement P&L) for the United States and lists these liabilities. So, I can analyze the condition just as I would for any corporate entity. Of course, I've always contended that their projections were way too aggressive. For instance, I know for a fact that their GDP growth projections assume something like 5% real (not nominal) GDP growth every year until 2020. Lmfao, so no economic downturns for the next 9 years AND an ultra-aggressive growth assumption and we're still $55 trillion in the hole.

[Hobie]

Thanks for the kind words. The difference in reported and actual numbers lies in the un- under-funded liabilities. The CBO actually produces a set of financial statements every year (statement of cash flows, balance sheet, income statement P&L) for the United States and lists these liabilities. So, I can analyze the condition just as I would for any corporate entity. Of course, I've always contended that their projections were way too aggressive. For instance, I know for a fact that their GDP growth projections assume something like 5% real (not nominal) GDP growth every year until 2020. Lmfao, so no economic downturns for the next 9 years AND an ultra-aggressive growth assumption and we're still $55 trillion in the hole.

I've been trying to read and educate myself. I don't have any financial specififc education aside from a few accounting and broad finance classes/electives I took for my minor.

Even with my limited understanding I've been feeling like things are much worse than we're led to believe.

At the end of the day I don't really know if any of the conclusions I draw are really accurate, but it's certainly scary when people who do seem to know what they're talking about have similar thoughts.