Spending Ourselves to Death

In the mid 1950s Russian premier (dictator) Nikita Khrushchev stated before the UN, “We do not have to worry about the United States.  They will spend themselves out of existance.”  How true!

At the rate the Federal Govt. is spending money and taking on debt, we will be facing an economic train wreck in another 3 to 4 years.  By 2013 interest on the public debt will be the largest single item in the U.S. Federal Budget.  This is unsustainable.

Like electrons in a circuit, to correct this imbalance Congress will most likely take the path of least resistance by raising taxes.  The new tax they will impose will be a value added tax (VAT) that will especially hit the middle class hard. 

The economy and growth opportunities will take a hit.