Invest Intelligence When It Realy Matters
Games Washington Plays. Trick #4: Off-Balance Financing
Deficits, Debt and Excess Consumption
As you may recall, in February 2008 President Bush unveiled a whopping $3.1 trillion budget that boost military spending and reduced health benefits for retirees. This was the first $3 trillion-plus annual budget in world history.
Since there is no way Washington can come up with this money, Bush’s will end up creating another huge annual deficit. Of course this will have to be financed by investors – almost exclusively China – adding even more to the national debt.
This ridiculous budget is just another force serving to destroy America’s future. But the White House hides the full extent of these deficits by allocating certain items to the off-balance category. Similar to annual deficits, off-balance expenses are added to the national debt each year.