Indebted U.S. to resemble Greece

PIMCO's Gross says indebted U.S. to resemble Greece
Excerpt:

Bill Gross, founder and co-chief investment officer of bond giant PIMCO, said he sees the U.S. going the way of Greece if it does not get its fiscal house in order.

Gross, writing in his most recent monthly investment outlook, said the U.S. must cut spending or raise taxes by 11 percent of gross domestic product over the next five to ten years in order to preserve its role as financial safe haven.

"If we continue to close our eyes to existing 8 percent of GDP deficits, which, when including Social Security, Medicaid and Medicare liabilities, compose an average estimated 11 percent annual 'fiscal gap,' then we will begin to resemble Greece before the turn of the next decade," Gross wrote.

Comment: Image source: Bring back the Greek Drachma - Problem solved