The Real Obama Budget Deficit For 2011: 5 Trillion Dollars

If the U.S. government used the same accounting methods that most U.S. businesses use, the real federal budget deficit for last year would have been 5 trillion dollars instead of 1.3 trillion dollars.  So where does the huge difference come from?  I think a simple illustration would be helpful here.  When you go shopping, do you only count the transactions where you use cash, or do you also count the transactions where you signed on the dotted line and promised to pay later?  Of course you count both of them.  Well, the U.S. government does not count promises to pay later when calculating budget deficits.  The “official” Obama budget deficit for 2011 was 1.3 trillion dollars, but according to USA Today when you add in the rise in liabilities for Social Security, Medicare and other retirement programs that adds another 3.7 trillion dollars to the total.  Those are future financial promises that we have made that future taxes are not expected to cover.  This analysis by USA Today squares very well with what analysts such as John Williams of shadowstats.com have been saying for years.  The truth is that our federal budget deficits have actually been far worse than we have been told. (Read More...)

45 Signs That China Is Colonizing America

Just because you were once the most powerful nation on earth does not mean that you will always be the most powerful nation on earth.  Every single year, hundreds of billions of dollars leaves the United States and goes to China.  This enormous transfer of wealth has had a dramatic effect on both countries.  In case you haven’t noticed, many of our formerly great manufacturing cities such as Detroit are rotting away while shining new factories and skyscrapers are going up all over China.  If you go into any major retail store today and start turning over products, you will find that hundreds of them have been made in China and that very few of them have been made in America.  As a nation, we buy far, far more from China than they buy from us.  As a result, China is absolutely swimming in cash and they have been looking for things to do with all that money.  One thing that China has done is loan the U.S. government over a trillion dollars and this has given the Chinese a tremendous amount of leverage over us.  China has also started to buy up businesses, real estate and natural resources all over America.  This kind of “economic colonization” is similar to what China has already been doing in Africa, South America and Australia.  The formula is actually very simple.  We send them our money and then they use it to buy us.  With each passing day China’s ownership over America grows, and it is frightening to think about where all of this could end. (Read More...)

10 Mind Blowing Facts Which Show How Members Of Congress And Federal Employees Are Living The High Life At Our Expense

If you were asked to guess, what area of the United States would you say has the highest average income?  New York City?  Los Angeles?  Silicon Valley?  Well, would you believe that it is actually the Washington D.C. area?  Median household income in the region is $84,523, which is the highest in the nation.  One of the biggest reasons for this are the huge salaries being pulled down by federal employees in the Washington D.C. area.  According to the latest numbers, the average federal employee in the D.C. area brings in total compensation worth more than $126,000 a year.  Of course members of Congress are even doing far better than that.  Most of the members of Congress are millionaires, and somehow the vast majority of our politicians leave Washington D.C. far wealthier than when they arrived.  So if you want to live the high life, you might want to move to the Washington D.C. area.  Our “representatives” in Congress and the bureaucrats that work for the federal government are swimming in cash, and it is all at our expense. (Read More...)