Vanishing Point on US Debt

America running out of time to cut debt


Over the last six months, as part of our graduate programs at Stanford University, and in conjunction with former U.S. Comptroller General David Walker (a longtime critic of unsustainable entitlement spending) and the Comeback America Initiative, we developed a Sovereign Fiscal Responsibility Index that assesses fiscal responsibility across most Organization for Economic Cooperation and Development and so-called BRIC countries (Brazil, Russia, India and China).

Combining the three major components of fiscal responsibility -- current debt levels, the projected future debt path and fiscal governance -- this index predicts the U.S. could face a fiscal crisis in the next two to three years if spending and tax revenues continue at current levels.

Right now the U.S. debt is like a freight train running downhill. The agreement to prevent a shutdown was like putting a shopping cart in the way. We still need to pull the brakes to keep our country out of a fiscal abyss.

Our index shows that the U.S. ranks 28th overall out of 34 countries, in the same territory as the so-called PIIGS of Europe -- Portugal, Iceland, Ireland, Greece and Spain -- countries that are already facing fiscal hardship, some from years of irresponsible behavior.

Comment: Just like Kowalski couldn't drive the Challenger through the bulldozers in Vanishing Point

Still with stunt car (older Camaro):

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