America and the exploding Debt-2

Like a household which is having trouble balancing its budget and depending on loans to get by. America has been too long living beyond its means and the debt will soon start to get unmanageable. Plus this debt keeps on adding up without any corresponding decrease in any outstanding debt. No Politician of any party or any Public figure has directly addressed how we are supposed to meet our obligations without declaring bankruptcy. They keep on adding spending and legislating laws and expect the investors of the world to keep on financing this huge appetite of American Deficit.

We need to start addressing this problem right away (the polls have started to show that Americans are increasingly worrying about the debt). We need to reduce our spending drastically which will mean some painful cuts now in order to lead a less indebted life and start paying off our obligations.

And you know what this obligations just show what we owe to the rest of the world and to our investors here. But it does not show what we owe to American Public in terms of what we have promised them. The unfunded liability of pensions and social security is another explosive debt which will have to be addressed now rather than being avoided by all the Politicians.

Where is the money going to come to fund all these liabilities are beyond me? We keep on promising people money without the means to find out where it will come from. So the future generation will definitely be paying more in taxes and reduce living standards just to keep up with the interest payments and our other obligations.

It is scary but it will happen until some miracle intervenes.