Creating Counterfeit Money
May 1, 2015
As posted on www.usaponzi.com
The U.S. Government has been operating a classic Ponzi scheme since FY1969 by promising to pay social benefits that far exceed the U.S. taxpayer's ability to pay and then not taxing the U.S. taxpayer to pay for these future social benefits creating Unfunded Future Liabilities. In addition, the U.S. Government is spending more than it takes in as revenue creating National Debt. Both of these Public Liabilities are deferred to the future U.S. taxpayer who cannot pay either the Debt or the Unfunded Future Liabilities. By not having to pay the taxes to cover our Debt or our Unfunded Future Liabilities, the U.S. citizens and businesses appear richer by the amount of our Public Liabilities but this is counterfeit money since these are just deferred liabilities that someone will have to pay or the U.S. Government will be forced to default on these financial obligations.
The U.S. Government is using a corrupt and fraudulent accounting system for its budgeting and planning process by using Cash Accounting as opposed to the proper GAAP Accounting. Cash Accounting reports our Cash Deficit and our Debt but GAAP Accounting reports our GAAP Deficit, our Cash Debt, and our GAAP basis Unfunded Future Liabilities. We are therefore creating counterfeit money at the rate of our GAAP basis Deficit Spending and have created a total amount of counterfeit money as measured by our total Public Liabilities.
Public Liabilities = National Debt + GAAP basis Unfunded Future Liabilities = counterfeit money
According to www.usdebtclock.org, as of April 29, 2015:
National Debt = $18.2 Trillion
GAAP basis Unfunded Liabilities = $95.0 Trillion (Includes National Debt)
counterfeit money = Public Liabilities = GAAP basis Unfunded Liabilities = $95.9 Trillion
Our Public Liabilities are increasing each year by our GAAP basis Deficit which according to www.usdebtclock.org is $5.6 Trillion in FY2015.
I predict that this counterfeit money will evaporate when USAPonzi implodes.
USAPonzi Financial Summary demonstrates that most of our U.S. Private Net Worth has been artificially created by the counterfeit money that USAPonzi produces.