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Discussion: (6 comments)

  1. “…do something about entitlements?”

    What do you propose?

    1. Gary A. Anderson

      Overtime, it seems D in the Democratic party has morphed into deceit, deception & distortion. Moreover, this administration CANNOT be trusted. Is it not obvious this is a plotting, strategizing, Machiavellian president? Is it not clear Obama has a stealth agenda designed to hoodwink the public? In short, our kinda-sorta, manipulative, president has little, if any, credibility.

  2. mesa econoguy

    Last try –

    The problem is worse than you state Jim.

    Laurence J. Kotlikoff (Boston Univ.) estimates total fiscal gap including all entitlements to be $200 trillion.

    1. And in 2012 Kotlikoff estimated the fiscal gap to be $220T. It’s amazing what a year does. I wait with baited breath for his 2014 prediction.

      The CBO extended alternate fiscal scenario WILL.NOT.HAPPEN.PERIOD. It assumes that the deficit will be 18% of GDP in 2038. Rising taxes and rising spending relative to output is a fiscal certainty.

      1. mesa econoguy

        The CBO is wrong, and has been for years.

        They have enormous incentive to be wrong – their customer base is comprised entirely of people whose job it is to lie, and redistribute to favored constituencies.

        [Note: I do not believe $200 trillion to be accurate, but it’s probably not too far off, like $100 or $150 trillion. The entitlement problem is huge, and getting much, much worse.]

        Of course rising taxes is a certainty; revenue collected as taxes explode (they will) becomes the problem.

  3. Benjamin Cole

    Trim entitlements, whack defense spending in half and run mild inflation…not pretty but do what you gotta do…

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