Bankrupt Nation?
If you haven’t heard about Laurence Kotlikoff, don’t worry — neither have I. It was only recently I learnt about an article he wrote in the Federal Reserve Bank of St. Louis Review that has instigated a flurry of commentary on the state of domestic policies. The reason: Kotlikoff poses the question, "Is the United States Bankrupt?" — according to him, while the country may not be so badly off right now, it’s definitely headed that way. Spectator.org reports:
Kotlikoff’s claim is supported by several carefully calibrated computer analyses that show how the promise to provide many trillions of dollars to today’s citizens — of which $67 trillion are unfunded — would spell disaster in years to come. Over the next 20 years, 76 million people — fully one-fourth of the total population — will transition into retirement, compounding the problem dramatically.
Read more: Bankrupt Thinking on U.S. Bankruptcy
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