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

Energy Independence-A Byproduct of USAPonzi?
Oct 26, 2014
As posted on

As this website has explained (see Introduction to USAPonzi), USAPonzi has dramatically undertaxed U.S. citizens and businesses thereby creating $98.1 Trillion of counterfeit money over the last 46 years and as a result has


1) provided massive stimulus to the U.S. (and global) economy; 47% of FY2015 GDP is created by USAPonzi (see U.S. "Real" GDP FY2015).

2) caused many U.S. citizens and businesses to appear to be much richer than they really are; nominally 7X (see U.S. Total Assets Bubble). 

3) caused many U.S. businesses to appear to be much more successful, profitable and valuable than they really are which in turn has caused stocks to appreciate rapidly (see Asset Prices to Infinity).

4) and caused dramatic escalation in asset and commodity prices (see Inflation-A Byproduct of USAPonzi).

As Inflation-A Byproduct of USAPonzi shows, we have seen a nominal 5% per year inflation rate for both asset and commodity prices since the launch of USAPonzi in FY1969.   In 1969, the price of gasoline was 35 cents a gallon and the price of oil was $3.30 a barrel.  Today the price of gasoline is $3.12 and the price of oil is $81.00.  And both gasoline and oil prices have dropped significantly in the last few weeks.

It is my contention that the primary cause of this asset and commodity price escalation is due to the creation of $98.1 Trillion of counterfeit money that has been introduced into the U.S. economy and financial system by the GAAP basis Deficit Spending of the U.S. Government.  The U.S. Government has been dramatically undertaxing the U.S. citizens and businesses since the launch of USAPonzi in FY1969, creating a GAAP Obligation of $98.1 Trillion that is to be paid by future taxpayers and we are already spending, on a GAAP basis, three times our current income so future taxpayers have no hope of ever paying off this GAAP Obligation (see USAPonzi Fiscal Model).

That is why I say the U.S. Government is running "The Biggest Ponzi Scheme on the Planet".

That is why I say that the $98.1 Trillion (our GAAP Obligation) is counterfeit money since the financial obligation (debt and unfunded liabilities) that has been created by this undertaxing of U.S. citizens and businesses has been passed forward to future taxpayers and can never be paid.

But right now (October 26, 2014) the world is accepting these counterfeit dollars like they are real money and the U.S. Government is creating $19.0 Billion more of them every day.  This is caused by our GAAP basis Deficit Spending of $6.94 Trillion in FY2015.  As long as we can continue to fool the world, the people in the United States will be able to buy "all of the oil the world can produce" at whatever price the producers want to charge AND and can also buy  "all of the tea in China" since current fiscal policy (USAPonzi) will create an ever increasing (infinite) amount of counterfeit money.

But at some point in time the producers of oil, and all other products and services, are going to call "bullshit" on us and demand that we start using real money to buy their stuff.

That is when USAPonzi will implode!

But that is why I say that USAPonzi is the primary reason that the United States of America has now become "Energy Independent"; we have an exponentially increasing amount of counterfeit dollars that we can use to buy oil, or any other product or service, on an escalating price scale.  Even though the cost of producing some of our oil is high compared to other sources, we can afford to pay since we are using counterfeit money so cost and price are of little consequence/

At least for a while!

Next Page: High Net Worth-A Byproduct of USAPonzi