The Biggest Ponzi Scheme on the Planet-The U.S. Government
"American Economic Exceptionalism Explained"                     USAPonzi                                      by John W. White   Mar 29, 2013

Deficit spending creates imaginary-counterfeit money
May 18, 2017


I have obviously been very unsuccessful in explaining the meaning of imaginary-counterfeit money. In this commentary I will attempt to better explain the meaning of this terminology. The U.S. Government is using a fraudulent fiscal policy and accounting system, I call it USAPonzi, that is producing this imaginary-counterfeit money.


Imaginary-counterfeit money
is the money that the U.S. Government has borrowed from the future Americans by deferring public liabilities to the future Americans. The U.S. Government does this with what is called deficit spending. Deficit spending means spending more money than you have and imagining that you can pay it back someday. This money does not exist except in the mind of the spender that he/she/it will be able to pay it back some time in the future. Therefore I call this money that is spent with deficit spending, but does not really exist; imaginary money.


In the case of the U.S. Government, it has incurred GAAP basis deficit spending of $106.2 Trillion as of May 18, 2017 (US Unfunded Liabilities (GAAP) in the table below) which it can never pay back so I call this counterfeit money. Therefore I call the money that has been borrowed from the future Americans with GAAP basis deficit spending; imaginary-counteferit money. It is imaginary because it does not exist, the U.S. Government just likes to pretend like the future Americans can pay it some time in the future, but it is counterfeit because the future Americans can never pay it.


Therefore, every dollar of deficit spending becomes an imaginary-countefeit dollar in the pocket of the current American that did not have to pay the tax dollar that it would have been required to balance the budget. Because the U.S. Common Man does not have much money he/she could not be much help paying this $106.2 Trillion of taxes to balance the budget. On the other hand, the U.S. upper class by definition has a lot of money and could pay these taxes but since the U.S. Government does not balance the budget the U.S. upper class gets to keep its money but now that money is imaginary-counterfeit money that the U.S. upper class gained from the deficit spending of the U.S. Government.


The U.S. Government is borrowing imaginary-counterfeit money from the future Americans and giving it to the U.S. upper class with GAAP basis deficit spending. That is why in the table below US Unfunded Liabilities (GAAP) = imaginary-counterfeit money = $106.2 Trillion.


Deficit spending creates imaginary-counterfeit money and the U.S. upper class gets most of this imaginary-counterfeit money. The more the U.S. Government overspends and overpromises to spend, the richer the U.S. upper class appears to become. The problem is they are getting rich with imaginary-counterfeit money. This money does not really exist except in the corrupt mind of the U.S. Government. The U.S. Government has borrowed $106.2 Trillion of imaginary-counterfeit money from the future Americans and given it to the current Americans but the U.S. upper class has collected most of this imaginary-counterfeit money.


The U.S. Government is creating an ever-expanding bubble of imaginary-counterfeit money with unbounded GAAP basis deficit spending. That is why the stock market goes up, the price of houses goes up, the price of gold goes up, the price of oil goes up, etc. etc etc.This 106.2 Trillion bubble of imagainary-counterfeit money is creating bubbles in all asset classes.


But since it is the Government of the United States of America that is producing this imaginary-countefeit money out of "thin air", the rest of planet assumes this this $106.2 Trillion is sound money. It gets treated just like the real money that the Common Man and most of the rest of the planet earn by the sweat of their brow. This imaginary-counterfeit money will evaporate into the "thin air" from whence it came when this U.S. Government fraud is exposed, i.e when USAPonzi implodes.


The U.S. Government is corrupt! The senior officials of the U.S. Government are criminals! The U.S. Government is NOT OPERATING its current fiscal policy with Generally Accepted Accounting Principles (GAAP Accounting). As a result, the U.S. Government is not taxing the U.S. upper class enough to pay for the U.S. Government benefit promises that the U.S. Government has made.


The U.S. Government has undertaxed the U.S. upper class by $106.2 Trillion giving them great wealth. The U.S. Government has overpaid the U.S. ruling class by $19.9 Trillion giving them an opulent lifestyle. The U.S. Government has underfunded the U.S. Government benefit promises to the U.S. Common Man by $86.3 Trillion. The U.S. Government is making false benefit promises to the U.S. Common Man while enriching the U.S. ruling class and colossally enriching the U.S. upper class.


That is my latest attempt to explain the meaning of imaginary-counterfeit money. With the current fiscal policy, the U.S. Government will create an infinite supply of imaginary-counterfeit money to enrich the U.S. upper class.


The U.S. Government is being run by a bunch of criminals!


This fraud has so far produced $106.2 Trillion of imaginary-counterfeit money and is producing another $15.29 Billion every day!

 

National Debt    $19.9 Trillion 
Cash Deficit in FY2017  $0.59 Trillion 
GAAP Deficit in FY2017 
$5.58 Trillion 
US Unfunded Future Liabilities  $86.3 Trillion 
US Unfunded Liabilities (GAAP)  $106.2 Trillion 
Imaginary-Counterfeit Money 
$106.2 Trillion 
Total National Assets 
$131.5 Trillion 

Source: www.usdebtclock.org May 18, 2017


This U.S. Government fraud can only be equitably eliminated by the adoption of GAAP Accounting and a commitment to a balanced GAAP basis budget by the U.S. Government.


I have published a website www.usaponzi.net that explains how this fraud works to create a massive global wealth and income gap between the haves and the have-nots and to create false wealth and prosperity for the current Americans.


This is the biggest ($106.2 Trillion) financial fraud ever perpetrated, I call it "USAPonzi: The Ultimate Government Fraud" and it is "The Biggest Ponzi Scheme on the Planet"!


John W. White

Plano, TX