When Chickens Come Home to Roost. . .
Vol: 117 Issue: 8 Wednesday, June 8, 2011
A report in USA Today opened with the curiously-worded statement that US federal government’s financial condition “deteriorated rapidly” last year. One wonders how much room exists between “rapid deterioration” and “collapse.”
USA Today conducted its own audit of the federal government to see how it matched up with the numbers the government is telling us. Social spending commitments are called unfunded liabilities and the government doesn’t include them in calculating government debt.
“Corporations would be required to count these new liabilities when they are taken on — and report a big loss to shareholders. Unlike businesses, however, Congress postpones recording spending commitments until it writes a check.”
It is because of similar “congressional bookkeeping” that most of Enron’s top executives either have or will die in federal prison. But not only does the government “cook the books” they cheerfully admit it.
Almost every financial news program, when discussing government bookkeeping, presents two sets of numbers; “here’s our debt, and here’s our debt with unfunded liabilities included.”
We hear it so often that I don’t think it registers anymore what is actually being said because we’ve gotten so used to hearing it.
“On this page is our true debt, but over here is a smaller, more soothing number. Look over here. . . look over here . . . look over here. . .
“Pay no attention to the man behind the curtain! I am the great and powerful Oz!”
USA Today’s audit of our actual debt is $61.6 trillion dollars. I needed a figure to contrast that against so you can see it for what it is. So I looked up the world’s Gross Domestic Product to use as a benchmark. It is $54.5 trillion dollars!
You know how when you were a kid you used to dream you had all the money in the world? Well, in a way, your dream has come true – that’s almost how much you’re on the hook for.
The unfunded liabilities part of the debt is Medicare, Medicaid, Social Security and other entitlements that will soon be upside-down. That’s because our demographics are upside-down.
“Between 2010 and 2050, Europe’s population will actually decline,” says Carl Haub, senior demographer at the non-profit Population Reference Bureau. “In most developed countries, raising the birth rate is a national priority.”
The worry is less about size than population imbalance: More elderly people who need social support but fewer young people who work and help a nation’s economy thrive.
“That’s the critical issue,” Haub says. “There will be an unprecedented number of people who will be the old old. That’s more people to be cared for but fewer people to fill jobs.”
I read through the article several times looking for an explanation for the population imbalance. Although they danced all around it, they never even mentioned the most obvious reason why there aren’t enough workers to sustain America’s unfunded liabilities.
The USA is facing a wave of elderly as the oldest of 77 million Baby Boomers turn 65 this year, but a robust birth rate bolstered by high immigration is offsetting the impact.”
The $61.6 trillion in unfunded obligations amounts to $527,000 per household. That’s more than five times what Americans have borrowed for everything else — mortgages, car loans and other debt. It reflects the challenge as the number of retirees soars over the next 20 years and seniors try to collect on those spending promises.
“The (federal) debt only tells us what the government owes to the public. It doesn’t take into account what’s owed to seniors, veterans and retired employees,” says accountant Sheila Weinberg, founder of the Institute for Truth in Accounting, a Chicago-based group that advocates better financial reporting. “Without accurate accounting, we can’t make good decisions.”
Seldom does anybody even try to explore why the numbers are upside down. In the event anyone does take a stab at it, they blame systemic waste or unanticipated longevity (darned seniors!) or they note (in passing) that there are fewer workers per retiree than was anticipated back in 1933 — but that’s where the explanation trails off. . .
I did some digging and found some statistics that they might find helpful in figuring out cause and effect. The average American male is 36.8 years old. The average American female is 38.1.
That’s kind of old, really. In the Middle East and North Africa, the median age is around thirty.
The median age in Islamic countries like Jordan and Saudi Arabia is around twenty, in the Catholic countries of Latin America, around 25.
America is up there with Canada and European countries like the UK, Norway, France, the Ukraine and Russia, all between 36 and 39.
The countries with the oldest average populations include Germany, Japan and Italy.
Hmmm. Since the median age in the West is the late thirties, let’s set the WayBack Machine to thirty-eight years ago and see if we can find a clue and perhaps nail it.
This is the year 2011. Minus 38 years equals the year 1973. That would be the place to begin looking. In 1973. 1973 was the year that the Supreme Court handed down its Roe v. Wade ruling legalizing abortion.
Funny that nobody ever draws a connection between the population imbalance and legalized abortion.
Well, funny isn’t exactly the right word.
According to statistics furnished by the US National Right to Life between 1973 and 2010 America has aborted at least fifty-two million, eight thousand, six hundred sixty-five potential American workers.
That is the minimalist estimate – the abortion industry’s ‘second set of books.’ In reporting its statistics, NRL notes that;
“CDC researchers have admitted it probably undercounts the total number of abortions because reporting laws vary from state to state and some abortionists probably do not report or under-report the abortions they perform.”
That is why there are “more people to be cared for and fewer people to fill their jobs” as Captain Obvious over at the Population Reference Bureau helpfully explained to theUSA Today reporter.
Add in the children that they will never have and it is no stretch to conclude that the American population is short about one hundred million workers that should be somewhere between graduating from college and those in their working prime right now.
Note the countries marked in blue on the attached map and compare them to the countries with the oldest average populations listed above. But the map isn’t a map denoting the oldest populations. It is a map of those nations where abortion is legal on demand.
Although unintended, it is also a map of the countries whose economies are the most upside down. (Australia, where abortion is heavily restricted by state, has not coincidentally largely avoided the global financial crisis.)
The arguments favoring abortion are specious. The argument most often used is actually the weakest; “When does life begin? At what point does a fetus become a human being?”
I am not quite sure which I find the more amazing — that anybody would ask the question or that anybody else would have trouble answering it.
Q. At what point in the gestation process does a fetus become a human being? A. At that point in the process when it can’t become anything else except a human being.
See? It’s not even a real question. It’s just a word game, and not a particularly clever one, at that.
There is no point from the moment of fertilization forward where abortion is not the taking of a human life. I find it no coincidence that the Bible addresses the progressive liberal agenda, point by point, as the seven things God hates the most. That’s because God is the one ‘thing’ that liberals hate the most.
“These six things doth the LORD hate: yea, seven are an abomination unto Him: A proud look, a lying tongue, and hands that shed innocent blood, An heart that deviseth wicked imaginations, feet that be swift in running to mischief, A false witness that speaketh lies, and he that soweth discord among brethren.” (Proverbs 6:16-19)
America has too many grandparents and not enough grandchildren. This is not that complicated. (Not even for liberals — that’s why they avoid the topic like it was a church).
To paraphrase the president’s spiritual mentor, Jeremiah Wright, Obama’s economic troubles are the direct result of thirty-eight years’ worth of liberal America’s domination of the domestic agenda. America’s chickens have come home to roost.
You can tell from all the guano emanating from Washington.