Branco cartoon via Legal Insurrection
The CBO report released Friday asserts that the United States is on an unsustainable path. If nothing improves, the nation will hit 100% of GDP by 2038.
‘Entitlement spending would increase to 14% of GDP (double the previous 40 years) and the annual deficit would grow to 6.5% GDP, exceeding any year post-1947, according to Fox Business.
The CBO, which is not given to hyperbole said that unless “substantial changes are made to the major health care programs and Social Security,” in the future those programs will drain an ever larger amount of the total economy’s output, the report warns.
Half of the increase in healthcare spending will be because of Obamacare.
Obama’s profligate spending equals that of all the presidents who preceded him. He must be stopped. One recent Rasmussen poll says that 51% of Americans now want the government shutdown if necessary to slow this spending.
If the nation’s debt problems aren’t dealt with, the impact will be much sooner than 2038 because of diminished investor confidence and increased interest on borrowing.
If that isn’t enough bad news, the Government Accountability Office (GAO) report found $1.29 billion in waste at the Social Security Administration, according to the free beacon.
They found that people who applied who were working, receiving a paycheck, also received a disability check. People who are able to work are not supposed to receive disability.
It’s a small error according to the Social Security Admin officials. There are so many people on disability seems like a lot of money [because it is a lot of money].
“While our overpayment accuracy rates are high, even small payment errors result in large costs to taxpayers and to DI beneficiaries,” said Katherine A. Thornton, deputy chief of staff for the SSA, in the SSA’s response to the report.
“The true extent of overpayments is currently unknown,” the GAO said, “but our prior work suggests that most overpayments are related to beneficiaries who worked while receiving benefits.” [free beacon]
The disability portion of the Social Security Administration has grown in leaps-and-bounds. It will be insolvent in the near future if this continues.
Information about the CBO report can be found at Fox Business