Friday, June 3, 2016

Clueless after all these years.

Moreover, as we keeping insisting, there is nothing in the OASDI trust funds except intergovernmental accounting confetti. Every dime that was ever collected from the social insurance taxes, which bring in more than $1 trillion per year in revenue, has already been spent on education grants, Federal salaries, aircraft carriers, cotton subsidies, windmill farms and thousands of other Washington boondoggles.

So that steep demographic curve in the chart above [showing increase in retired aged people] means only one thing. Namely, that to fund even the current wildly unaffordable benefit schedule, massive amounts of additional cash will have to be extracted from taxpayers, the bond market or other programs.[1]

But Obama (Harvard, JD) wants to raise Social Security benefits. Proving that after seven years "in office" Obama has failed to grasp one of the most elementary facts of our fiscal peril.

[1] "Obama’s Latest Whopper—-Let’s Raise Social Security Benefits!" By David Stockman, Stockman's Corner, 6/3/16 (emphasis added).

H/t: Zero Hedge.

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