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

Op-Ed to WSJ, NYT, and DMN
April 6, 2016    Emailed to the media and SEC April 6, 2016
As posted on www.usaponzi.com


The following is an Op-Ed submitted to The Wall Street Journal, The New York Times, and The Dallas Morning News on April 6, 2016.


USAPonzi: The Ultimate Government Fraud


The U.S. Government is corrupt! The U.S. Government is "Cooking the Books"! The U.S. Government is operating with a Ponzi scheme fiscal policy (USAPonzi) that is deferring massive public liabilities to the future U.S. taxpayers.


Why is USAPonzi "The Ultimate Government Fraud"?


1) The U.S. Government has overpaid U.S. Government employees and related businesses by the amount of the National Debt ($19.2 Trillion) and has deferred the cost to the future U.S. taxpayers.


2) The U.S. Government has borrowed $5.3 Trillion from the Social Benefit Trust Fund to cover a portion of the overpayment in item 1) above. This $5.3 Trillion was paid into the U.S. Government for the express purpose of funding the social benefit promises that the U.S. Government has made to the U.S. citizenry. This has had the effect of bloating the U.S. Government.


3) The U.S. Government has made promises to pay social benefits, veteran's benefits, and pensions but for the last 47 years has not been adequately funding these promises. This underfunding has now accrued to $82.5 Trillion of false promises by the U.S. Government. The U.S. Government is making promises to the Common Man but is not keeping those promises so that it can overpay the U.S. ruling class and transfer massive imaginary-counterfeit wealth to the U.S. upper class.


4) The U.S. Government has undertaxed the U.S. citizens and businesses by $101.7 Trillion which has had the effect of increasing the apparent private wealth of the U.S. upper class by this $101.7 Trillion of 
imaginary-counterfeit money.


5) The GAAP basis deficit spending of USAPonzi has produced $101.7 Trillion of imaginary-counterfeit money that the U.S. Government has distributed to the U.S. citizens and businesses. Americans are now using this $101.7 Trillion of imaginary-counterfeit money to buy things that we cannot afford. America is "cheating the planet" by spending imaginary-counterfeit money that is backed only by the future U.S. taxpayers who have no way of paying for the purchases that Americans are making with this imaginary-counterfeit money.


This is why I call USAPonzi "The Ultimate Government Fraud"! USAPonzi is a $101.7 Trillion Fraud!


The U.S. Government is operating with a corrupt and fraudulent fiscal policy that is now a $101.7 Trillion Ponzi scheme (USAPonzi) by using Cash Accounting rather than the proper GAAP Accounting. By "Cooking the Books", the U.S. Government has been operating with massive but unreported GAAP basis deficit spending since FY1969 when Lyndon Baines Johnson proposed, and the 90th Congress approved, the "Unified Budget". The U.S. Government has the following financial condition as of April 6, 2016.


              Cash Deficit in FY2016:   $0.49 Trillion
             GAAP Deficit in FY2016:   $5.80 Trillion
           Social Benefit Trust Fund:   $0.00 Trillion
  US Unfunded Future Liabilities:   $82.5 Trillion
       Intragovernmental Holdings:     $5.3 Trillion
              Debt Held by the Public:   $13.9 Trillion
                             National Debt:   $19.2 Trillion
US Unfunded Liabilities (GAAP): $101.7 Trillion
  Imaginary-counterfeit money: $101.7 Trillion
                 Total National Assets: $122.7 Trillion


National Debt = Debt Held by the Public + Intragovernmental Holdings
US Unfunded Liabilities (GAAP) = National Debt + US Unfunded Future Liabilities
Imaginary-counterfeit money = US Unfunded Liabilities (GAAP)


The U.S. Government is reporting a Cash Deficit in FY2016 of $0.49 Trillion when its real deficit is a GAAP Deficit of $5.80 Trillion.


The U.S. Government has no money in the Social Benefit Trust Fund to pay for the social benefit promises that it has made to the U.S. citizenry which now total $87.8 Trillion ($5.3 Trillion  of Intragovernmental Holdings + $82.5 Trillion of US Unfunded Future Liabilities).


The U.S. Government has borrowed and spent, on general operating expenses, the $5.3 Trillion (Intragovernmental Holdings) that has been paid in by U.S. taxpayers to fund the Social Benefit Trust Fund.


The U.S. Government has underfunded its future commitments for pensions, veteran's benefits, and social benefits by $82.5 Trillion (US Unfunded Future Liabilities).


The U.S. Government has overpaid U.S. Government employees and related businesses by $19.2 Trillion (National Debt) including all of the money that has been paid into the Social Benefit Trust Fund.


The U.S. Government has undertaxed the U.S. citizens and businesses by $101.7 Trillion (US Unfunded Liabilities (GAAP) = National Debt of $19.2 Trillion + US Unfunded Future Liabilities of $82.5 Trillion) increasing the apparent private net worth of the U.S. upper class by $101.7 Trillion.


The U.S. Government has produced $101.7 Trillion of imaginary-counterfeit money by assuming US Unfunded Liabilities (GAAP) of $101.7 Trillion.


This undertaxing has produced apparent private net worth for all U.S. citizens and businesses of $122.7 Trillion (Total National Assets). Therefore 83% of U.S. private net worth is imaginary-counterfeit money ($101.7T/122.7T = 0.83) as of April 6, 2016.


The U.S. Government is fraudulently creating imaginary-counterfeit private net worth by assuming public liabilities. Every dollar of GAAP basis deficit spending becomes an imaginary-counterfeit dollar in the global financial system. It is imaginary because the U.S. Government "imagines" that the future U.S. taxpayers will eventually pay back that dollar but it is counterfeit because there is no hope that the future U.S. taxpayers will be able to pay what is now $101.7 Trillion of public liabilities that are increasing exponentially.


This is what is causing the "Wealth Gap". The U.S. Government has given the U.S. upper class a windfall gift of $101.7 Trillion of imaginary-counterfeit money. The U.S. Government has created $101.7 Trillion of imaginary-counterfeit money out of "thin air" by operating with an unbalanced budget for 47 years.


Warren Buffett has gained $56 Billion of imaginary-counterfeit money from this U.S. Government fraud.


See Buffett makes $9 Million a day from U.S. Government Fraud!


Bill and Hillary Clinton have gained $2.12 Billion of imaginary-counterfeit money from this U.S. Government fraud.


Donald Trump has gained $3.9 Billion of imaginary-counterfeit money from this U.S. Government fraud.


See Clinton/Trump: Getting Rich from U.S. Government Fraud!


However, this $101.7 Trillion is imaginary-counterfeit money since it has been borrowed from the future U.S. taxpayers who cannot pay the resulting public liabilities. This imaginary-counterfeit money will evaporate when USAPonzi implodes (See The Theory of Imaginary Money).


The U.S. Government has overpaid itself (the ruling class) by $19.2 Trillion.


The U.S. Government has undertaxed the U.S. upper class by $101.7 Trillion making them appear to be very rich with imaginary-counterfeit money.


The U.S. Government is cheating the Common Man by overpaying itself by $19.2 Trillion, by "borrowing" $5.3 Trillion from  the Social Benefit Trust Fund money to help overpay itself, and by not funding the $82.5 Trillion of future pension, veteran's benefits, and social benefit promises it has made to the Common Man.


The U.S. Government is cheating the rest of the planet by issuing $101.7 Trillion of imaginary-counterfeit money to the U.S. citizens and businesses.


The amount of imaginary-counterfeit money in the global financial system is increasing at an increasing rate because our GAAP Deficit (the amount of new imaginary-counterfeit money produced each year) is increasing exponentially because the U.S. Government has to pay real interest on the real debt (National Debt) and virtual/imaginary interest on the virtual/imaginary debt (US Unfunded Future Liabilities).


The economy of the entire planet is operating/surviving on the imaginary-counterfeit money produced by this U.S. Government fraud that I call USAPonzi.


You can learn more about this massive U.S. Government fraud/Ponzi scheme by reading my website www.usaponzi.com or better yet by reading my book "USAPonzi: The Ultimate Government Fraud" which is available on Amazon. This book can also be read directly from my website in PDF format.


This is the biggest financial fraud ever perpetrated because it has produced $101.7 Trillion of imaginary-counterfeit money, I call it


"USAPonzi: The Ultimate Government Fraud"!


"The Biggest Ponzi Scheme on the Planet"!


The financial data presented in this Op-Ed was sourced from www.usdebtclock.org as of April 6, 2016.


John W. White
Plano, TX