2011 Financial Report Of The U.S. Government – David Merkel

Net Liabilities of the US Government (in $Trillions) Measured on an Accrual Basis

To pay down liabilities like these would require the permanent allocation of an additional 8% of GDP. Where would we find the will to do that? I suspect as a result that we will see real decreases in Medicare benefits — things that won’t be eligible for payment. Hospice care will be indicated at higher frequency when healing an old person would be costly. So just be aware that something has to change, either taxes have to rise, or Medicare benefit levels have to fall.

via 2011 Financial Report Of The U.S. Government – Seeking Alpha.