Time Is Growing Short For U.S.

Former Federal Reserve Chairman Paul Volcker said time is “growing short” for the U.S. to address problems ranging from its budget deficit to Social Security obligations. 

Let's make this clear, the former Fed Chair is advising something needs to be and done quickly. I believe that Obama already knows this, and for some reason he is holding back for a reason. One reason is that he knows entitlement programs will need to be cut. This would not sit well with those benefiting from those entitlements, which most likely will vote democrat.

Read some more excerpts from the article...

“Today’s concerns may soon become tomorrow’s existential crises.”


Volcker, speaking hours after the euro fell to a four-year low against the dollar, said Europe demonstrates for the U.S. the hazards of “uncontrolled borrowing.”


“Little has happened to allay my concerns” raised five years ago that “dangerous and intractable” problems were rising in the U.S., said Volcker, chairman of the president’s Economic Recovery Advisory Board.


“Intractable not just because of the combination of complicated issues, but because there seemed to be so little willingness or capacity to do much about it,”...


“The time we have is growing short” and “there are serious questions, most immediately about the sustainability of our commitment to growing entitlement programs.”


“Any thoughts that participants in the financial community might have had that conditions were returning to normal should by now be shattered,” he said. “We are left with some very large questions: questions of understanding what happened, questions of what to do about it, and ultimately questions of political possibilities.”

The White House is projecting a $1.6 TRILLION deficit for 2010 and up to $10 TRILLION (this will likely rise) over the next decade. This will mean $900 BILLION per year in interest payments! I have stated before, this cannot be sustained. The US cannot raise income tax enough to cover these costs. Something will have to give.

If you don't have a plan for the future, I would suggest you formulate one. I predict that the US you know today will not be the same by the end of this year.