Kevin Durant's $54.3 Million Contract Explained!
July 5, 2016
Kevin Durant is one of the very fortunate beneficiaries of U.S. Government Fraud!
Pro Athletes receive outrageous compensation because the U.S. Government has fraudulently borrowed $102.7 Trillion from the future U.S. taxpayers!
The U.S. Government has given the current Americans $102.7 Trillion by deferring $102.7 Trillion of public liabilities to the future Americans!
This is a shell game; it produces $102.7 Trillion of faux private wealth by creating $102.7 Trillion of public liabilities that can never be paid!
This is a classic Ponzi scheme!
$102.7 Trillion (and expanding) of faux private wealth creation is funding lucrative entertainment businesses (among many other things).
Kevin Durant just got a new two year $54.3 Million contract to play basketball for the Golden State Warriors. This commentary will explain why professional athletes like Kevin Durant can be paid such outrageous compensation. The simple answer is because of U.S. Government fraud and corruption. The U.S. Government is running a Ponzi scheme that is producing imaginary-counterfeit money out of “thin air” by using fraudulent accounting. Those of you that have followed my website and/or read my book are getting very tired of hearing this same old story from me but facts are facts and nobody in the U.S. Government has yet had the intestinal fortitude to expose this fraud.
The U.S. Government has fraudulently transferred $102.7 Trillion of imaginary money from future U.S. taxpayers to the U.S. upper class, aka the 1% club. Faux wealthy Americans are prepared to spend this imaginary money on extravagant entertainment activities especially since this is ever increasing faux wealth creation.
By using Cash Accounting rather than the proper GAAP Accounting the U.S. Government is dramatically undertaxing the current U.S. taxpayers and deferring massive public liabilities to the future U.S. taxpayers. The U.S. Government started this fraud in FY1969 and has been continuing it for now 47 years. The U.S. Government has undertaxed the previous and current U.S. taxpayers by $102.7 Trillion (US Unfunded Liabilities (GAAP)) making the U.S. upper class appear to be very, very rich and giving all Americans a hell of a lot of money to spend. You will have to agree that $102.7 Trillion is a hell of a lot of money.
|Cash Deficit in 2016
|GAAP Deficit in 2016
|Unfunded Future Liabilities
|US Unfunded Liabilities (GAAP)
|Total National Assets
Source: www.usdebtclock.org Jul 5, 2016
How does the U.S. Government produce this money? By imagining that the future U.S. taxpayers will eventually pay the U.S. Government $102.7 Trillion. The U.S. Government has assumed public liabilities that the U.S. taxpayers simply cannot pay. The US Unfunded Liabilities (GAAP) dollars are imaginary-counterfeit dollars since every dollar of GAAP basis deficit spending becomes an imaginary-counterfeit dollar in the global financial system.
Since the current U.S. taxpayers are underpaying current period taxes by $5.75 Trillion (GAAP Deficit), how can we expect the future U.S. taxpayers to make a balloon payment of $102.7 Trillion? The U.S. Government has fraudulently borrowed $102.7 Trillion from the future U.S. taxpayers and given it to the previous and current U.S. taxpayers. This borrowed money does not exist except in the minds of the U.S. Government so it is imaginary money. The future U.S. taxpayers cannot pay this money so it is counterfeit money (See The Theory of Imaginary Money).
The U.S. Government has simply borrowed $102.7 Trillion of imaginary-counterfeit money from the future U.S. taxpayers and given it to the previous and current U.S. citizens and businesses.
The U.S. Government uses some of this imaginary-counterfeit money to overpay the U.S. Government workers. The U.S. Government uses some of this imaginary-counterfeit money to overpay the social benefits recipients. But the U.S. Government gives most of this imaginary-counterfeit money to the U.S. upper class by undertaxing them. This is what is causing the wealth and income gap. The U.S. upper class now has $102.7 Trillion of imaginary-counterfeit money and the U.S. Government gives the U.S. upper class $15.8 Billion more imaginary-counterfeit money every single day.
With this fraud, the U.S. Government has increased the apparent wealth of all U.S. citizens and businesses by $102.7 Trillion. The problem is that this money was borrowed from the future U.S. taxpayers and they cannot pay it. In fact, every year the future U.S. taxpayers are getting further and further behind because the U.S. Government is overspending and overcommitting by $5.75 Trillion (our GAAP Deficit) just this year. And this GAAP Deficit tends to grow exponentially.
The U.S. Government is producing an ever increasing bubble of imaginary-counterfeit money that we are using to pay Kevin Durant and other professional athletes, entertainers, financial advisors, hedge fund managers, corporate executives, government workers, social benefit recipients, etc. etc. We do not have to earn this money to pay Kevin Durant, the U.S. Government just produces it magically with GAAP basis deficit spending (See The Magic Imaginary-Counterfeit Money Spigot).
The U.S. Government is making the U.S. upper class appear to be very, very rich by giving them $102.7 Trillion; so rich in fact that one of them paid $99,000 for two seats to the final 2016 NBA Championship game. This is also why Elon Musk is selling a lot of Teslas; the U.S. upper class is getting so much imaginary-counterfeit money it is easy come easy go for them. When the U.S. Government is magically producing imaginary-counterfeit money at the rate of $15.8 Billion every day, the rich and the super-rich can buy Teslas like they are a bag of popcorn. Speaking of popcorn, USAPonzi is also the primary reason that a 10 cent bag of popcorn now costs $6 at the movies. USAPonzi has caused inflation in all asset classes; notably in stocks (The Stock Market Bubble), real estate (The Housing Bubble), and popcorn but that is another story for another time.
This U.S. Government fraud has given Americans $102.7 Trillion as of July 5, 2016 and is giving them $15.8 Billion more every day so Americans can afford to spend this imaginary-counterfeit money on cars, yachts, houses, planes, basketball tickets, TV subscriptions, team paraphernalia, hot dogs, chicken wings, and beer. USAPonzi is what makes Kevin Durant's outrageous compensation possible because he is being paid with imaginary-counterfeit money. And the U.S. Government is producing an infinite supply of imaginary-counterfeit money.
This scenario looks great at first glance but this $102.7 Trillion is imaginary money because we don't have the money the U.S. Government just imagines that the future U.S. taxpayers will eventually be able to pay it and it is counterfeit money because the future U.S. taxpayers will never be able to pay it.
This is what makes a Ponzi scheme a Ponzi scheme.
Ponzi schemes typically implode when the operator finally fesses up to the scheme like Bernie Madoff did or when the U.S. Justice System challenges the operator like they did in the cases of Enron, WorldCom, and HealthSouth.
But when the U.S. Government is the operator of the Ponzi scheme, as is the case with USAPonzi, it becomes very difficult to challenge the operator. And believe me I have tried to challenge the U.S. Government by sending 12 Whistleblower letters to the SEC and a Whistleblower letter to each member of Congress and to each member of the Supreme Court (these letters are posted on my website www.usaponzi.com).
The bubble of imaginary-counterfeit money that USAPonzi is producing currently stands at $102.7 Trillion and is increasing by another $15.8 Billion every day (GAAP Deficit in FY2016 $5.75T/365 = $15.8B) and the GAAP Deficit is expanding exponentially.
The Golden State Warriors will be paying Kevin Durant with just a little dab of this imaginary-counterfeit money but unfortunately this imaginary-counterfeit money will evaporate into the “thin air” from whence it came when USAPonzi implodes (See The Implosion of USAPonzi). After all it is imaginary-counterfeit money. When the U.S. Government finally admits to this fraud, $102.7 Trillion of apparent private wealth will disappear essentially overnight.
This exponentially increasing GAAP basis deficit spending will eventually catch up with the U.S. Government when the future participants in this Ponzi scheme finally realize that the current participants are spending their money and that the U.S. Government has already given the current participants access to $102.7 Trillion of the future U.S. taxpayers' money.
This problem can only be equitably resolved by the adoption of GAAP Accounting and a commitment to a balanced GAAP basis budget by the U.S. Government.
In order to create a level economic playing field that is sustainable over time and equitable throughout the planet, the U.S. Government must eliminate this fraud and corruption. The U.S. Government must stop cheating the future Americans and the rest of the planet just so it can dramatically enhance the lifestyle of current Americans (See Getting Rich on Borrowed Money)!
As I say, Kevin Durant is one of the very fortunate short term beneficiaries of this U.S. Government fraud. He is a great basketball player but he is being paid with $54.3 Million of imaginary-counterfeit money produced by U.S. Government fraud that will evaporate when USAPonzi implodes (See The Theory of Imaginary Money).
USAPonzi is explained in much more detail on my website www.usaponzi.com and in my book "USAPonzi" which is available on Amazon in Kindle and paperback format and on www.usaponzi.com in PDF format.
This is the biggest ($102.7 Trillion) financial fraud ever perpetrated, I call it "USAPonzi: The Ultimate Government Fraud" and "The Biggest Ponzi Scheme on the Planet".