Getting Rich from U.S. Government Fraud!
Op-Ed to WSJ, NYT, and DMN Emailed Nov 16, 2016
November 15, 2016
The U.S. upper class is getting very, very rich from U.S. Government Fraud!
The U.S. Government just borrows more and more money ($104.2 Trillion as of November 15, 2016) from the future Americans to make the U.S. upper class richer and richer! This fraud incurs unpayable public liabilities to produce counterfeit private assets! This is a classic Ponzi scheme!
Authors Note: The financial data used in this commentary was sourced from www.usdebtclock.org as of November 15, 2016 which is summarized in the following table and from FRED (Federal Reserve Economic Data https://fred.stlouisfed.org).
|Cash Deficit in FY2017
|GAAP Deficit in FY2017
|US Unfunded Future Liabilities
|US Unfunded Liabilities (GAAP)
|Total National Assets
Source: www.usdebtclock.org November 15, 2016
The U.S. Government is corrupt! The U.S. Government is committing criminal fraud by not using Generally Accepted Accounting Principles (GAAP Accounting). The U.S. Government is using Cash Accounting and as a result is dramatically undertaxing the current Americans, primarily the U.S. upper class, and deferring $104.2 Trillion of public liabilities (US Unfunded Liabilities (GAAP)) to the future Americans. The fiscal policy of the U.S. Government is a Ponzi scheme, that I have named USAPonzi, that is borrowing money from the future Americans, with GAAP basis deficit spending, and giving it to the current Americans.
As of November 15, 2017, the U.S. Government has borrowed $104.2 Trillion from the future Americans and given it to the U.S. upper class.
I call the money, that is borrowed from the future Americans with GAAP basis deficit spending, imaginary-counterfeit money. The U.S. Government "imagines" that the future Americans can pay these deferred public liabilities some day so it is imaginary money but the future Americans can never pay these deferred public liabilities so it is counterfeit money. Hence the name imaginary-counterfeit money.
A dollar of public liabilities produces a dollar of private assets (imaginary-counterfeit money)!
US Unfunded Liabilities (GAAP) = imaginary-counterfeit money = $104.2 Trillion
The U.S. Government has pretended to borrow $104.2 Trillion from the future Americans and given it to the current Americans, primarily the U.S. upper class. The current Americans now have apparent private net worth (Total National Assets) of $124.0 Trillion but $104.2 Trillion of that private wealth has been created out of "thin air" by pretending to borrow it from the future Americans. This means that 84% of our apparent private wealth has been borrowed from the future Americans ($104.2T/$124.0T = 0.84). These US Unfunded Liabilities (GAAP) of $104.2 Trillion can never be paid by the future Americans. Therefore, this is fraud!
According to FRED-Federal Reserve Economic Data (https://fred.stlouisfed.org), our Total National Assets were $5.024 Trillion on December 31, 1968 (USAPonzi was launched in FY1969) and they are now $124.0 Trillion but according to my analysis $104.2 Trillion of that gain in value came from USAPonzi borrowing imaginary-counterfeit money from the future Americans and giving it to the current Americans.
The following links show graphs of how Private Net Worth has increased since 1950 but I contend that the vast majority of this gain in Private Net Worth was accrued because of the GAAP basis deficit spending (undertaxing) of USAPonzi. Note how the trajectory of these Net Worth curves changed after 1970 when the U.S. Government started borrowing/stealing from the future Americans to give to the current Americans. We started to get richer faster when the U.S. Government started stealing imaginary-counterfeit money from the future Americans to promote counterfeit wealth and counterfeit prosperity in the United States of America.
Total National Assets ( Private Net Worth) = Households + Corporate + Small Business
Small Business: https://fred.stlouisfed.org/series/TNWBSNNB
Total National Assets Households/Corporate/Small Business
The U.S. upper class has fraudulently gotten very, very rich by being undertaxed by $104.2 Trillion.
The U.S. upper class has fraudulently gotten very, very rich because the U.S. Government has borrowed/stolen $104.2 Trillion of imaginary-counterfeit money from the future Americans and given it to the current Americans.
The U.S. Government is using fraudulent accounting and as a result is operating with a dramatically unbalanced budget so that they can overpay themselves and make their U.S. upper class friends very, very rich by giving them $104.2 Trillion. The U.S. Government is overpaying the government workers and government benefit recipients yielding National Debt of $19.8 Trillion. The U.S. Government is underfunding the government benefit promises it has made to the Common Man yielding US Unfunded Future Liabilities of $84.4 Trillion. The sum of our National Debt and our US Unfunded Future Liabilities is the amount ($104.2 Trillion) that the current Americans have been undertaxed; our US Unfunded Liabilities (GAAP). The U.S. Government is lying to and cheating the Common Man and the rest of the planet so that it can overpay itself and make its upper class friends very, very rich by undertaxing them.
This is a classic Ponzi scheme, that I call USAPonzi; the early participants get paid with money from the late participants.
If the U.S. Government continues to operate USAPonzi, it will produce an infinite amount of imaginary-counterfeit wealth for the U.S. upper class and an infinite amount of public liabilities for the future Americans!
This is absolutely absurd! This is a criminal act!
But the future Americans have a lot of imaginary-counterfeit money, since it is just a figment of the U.S. Government's imagination and has no value; so this fraud can continue for a very long time. It has been operating for 48 years. The U.S. upper class has been getting richer and richer for 48 years because the U.S. Government has been operating with a dramatically unbalanced budget since FY1969.
The U.S. Government is simply and fraudulently borrowing imaginary-counterfeit money from the future Americans and giving it to the current Americans, primarily to the U.S. upper class. This fraud artificially and dramatically elevates the standard of living for all Americans but especially for the U.S. ruling class and the U.S. upper class.
No wonder that we have a wealth gap, the U.S. Government has given the U.S. upper class $104.2 Trillion and is giving the U.S. upper class $5.67 Trillion more money in FY2017 (GAAP Deficit) which is $15.5 Billion every day with this fiscal and accounting fraud.
I respectfully request that the "Wall Street Journal", the "New York Times", and the "Dallas Morning News" publish this commentary so that the general population can be made aware of this criminal fraud that is being perpetrated by the U.S. Government. The U.S. Government will not be politically capable of resolving this problem until the general population has a clear understanding of how the U.S. Government is lying to and cheating the Common Man and the rest of the planet so that the U.S. Government can line the pockets of the U.S. ruling class and dramatically line the pockets of the U.S. upper class.
I also ask that anyone that truly wants this fraud exposed to forward this commentary to your friends.
The U.S. Government is playing favorites by operating this fiscal and accounting fraud. All Americans benefit from the fraud but the U.S. ruling is class is living an opulent lifestyle because of USAPonzi and the U.S. upper class is living a super opulent lifestyle because of USAPonzi.
The day of reckoning is coming and it will not be pleasant for any of us.
This fraud is explained in CliffsNotes format (USAPonzi CliffsNotes) and is also 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 formats and is currently available on my website in PDF format.
This is the biggest ($104.2 Trillion) financial fraud ever perpetrated; I call it “USAPonzi: The Ultimate Government Fraud” and “The Biggest Ponzi Scheme on the Planet”.
John W. White