Federal Govt Owes the Social Security Trust $2.5 Trillion

Toss that onto the logpile before you throw a match on it, along with the $3 trillion in underfunded State employee pensions, $6 trillion in FNM/FRE debt guarantees, and these black hole guarantees which probably add up to another several trillion: AIG, GMAC, GM, FHA, FDIC, Federal Reserve toxic assets, Citicorp, all the other Too-Big-To-Fail Wall Street banks...ad nauseum.

For many years, the Federal Govt tapped into the Social Security Trust for funding, issuing the Trust special Treasury bonds. Now the Govt owes the Trust $2.5 trillion. It was basically the same financing mechanism as selling bonds to the Chinese or Japanese, except that the Chinese or Japanese can dump their bonds in the freely traded the U.S. Govt bond market. The SS Trust has only the full faith and credit of the Govt to pay it back. Here's the AP article link from Yahoo: What's 2 1/2 Trillion Among Friends?

About 6 years ago I was debating the future of this country with some arrogant, smart-ass know-it-all retired surgeon from Wash DC. I tried to get him to sell his house in Potomac, MD for the $1.8 million it was worth at the time - it's now worth maybe $900k. I also explained to him that I would never see Social Security payments and would gladly accept a substantially discounted present value payment for the money I paid into the Trust in exchange for foregoing any future benefits to me. He rolled his eyes and said I was an idiot.

Who's looking like the idiot now?  Weimar-style hyperinflation of the currency is just around the corner.  It's the ONLY way the Government is going to be able to  make ends meet on the budget deficit plus all the other many trillions in claims piling up.  The thieves on Wall Street, aided and abetted by the thieves in the White House and Congress, are stealing anything that's not nailed down before the whole system collapses.  It's not a matter of "IF" but of "WHEN."

Got gold?