Thursday, January 07, 2010

May you live in interesting times.....

Think the geezers will converge on Washington and kick their asses? Only be a 100 million or so living off of Social Security. Forget medicare. It'll be toast.

 Of course we'll all have those little electric scooters to run down Pelosi. God I'd pay money to see that!

The Coming Economic Depression: Retirement Crash For Years to Come
Retirement Crash For Years to Come
The Baby Boom officially begins crashing this year. Some Baby Boomers began retiring early, but the big retirement Crash begins now and will go on for many years.

This is a crashing demographic wave that is also a massive financial and economic crash. The peak income years of this large wave of Americans now suddenly and steadily drops for many years to come as more and more of them retire. Their disposable income and actual consumer spending will likely be far less than was expected a few years ago because of the massive drops in retirement savings and the soaring costs of health care which will demand far more frugal living than was true of their predecessor waves of retirees. This will be even greater as they suddenly realize that the Obama Central Plan for Medicare Cost Cuts will force them to pay far more of their own medical costs.

At the same time, this growing tsunami-crash of retirements will produce a soaring tsunami of government expenditures for Medicare/Medicaid, in spite of the cuts now in the works which are not remotely enough to cut the soaring overall costs of these vast programs.

And the growing wave of Baby Boom retirees will also produce soaring government expenditures for the vast Social Security payments, because the government has spent their "contributions" to the system and given the SS "Trust" non-negotiable bonds – IOU's that now come due to pay the soaring costs for these retirees. The government will be forced to borrow trillions more to pay for these costs at the same time its revenues are sinking and it is borrowing trillions to pay for other costs from the Great Financial Crisis.

No comments: