Wow! The November Deficit Was 205 Billion Dollars
I saw a piece by Karl Denninger and mindful of Zero Hedge’s ongoing series telling us that the deficit is way less than the amount the Treasury borrows I decided to check for myself at www.treausurydirect.gov
I input the dates 10-31-2010 and 11-30-2010 as Denninger did to see the growth in debt. When I looked at TOTAL DEBT HELD BY THE PUBLIC I GOT AN INCREASE FROM 9,069,879,047,803.52 TO 9,275,024,690,843.88.
I said Holy Cow. The real deficit is more than 205 billion dollars a month.
Let me explain why the Debt Held By Public figure is more relevant than the total which includes debt held by Social Security and other agencies.
As I explained in high school discussions, Social Security surpluses are not real. They buy bonds which they will sell when the Baby Boomers retire. Then the Treasury will sell bonds to the public to give to Social Security to pay the retirees.
We are now in that period where Social Security will be redeeming the 4.5 trillion dollars they hold in US bonds.
Ben Bernanke will have to print at least 200 billion a month in new money to keep the Federal government running. Plus he has to buy back trillions of dollars in fraudulent mortgages American banksters have sold around the world.
I don’t think Ben can do this much longer.
Paul Craig Roberts in his latest interview with Max Keiser said that the IMF is controlled by the big banks and that they will use the IMF to force austerity on America — as they did to Ireland.