What is Unsustainable, Will Not Be, Years of Economic Reckoning are Coming

According to a October Census report over 108,000,000 Americans are now received means-tested benefits.  More American are receiving benefits than are currently employed full-time.

“ This is obviously unsustainable.  You have 1 full-time worker supporting 1.07 people on means-tested welfare programs.  It is a simple math problem.  Of course, this also ties in on why the government so desperately needed to borrow money or was facing a shutdown.”

These are 2011 numbers. In 2013 the work force continues to decline while the number of assistance precipitants continues to climb. This welfare to working disparity continues to expand. This is unsustainable. This economic disaster is largely being ignored by the mainstream press as the Obama administration keeps on spending and keeps  on going deeper into debt.  That worked out well for the first housing bubble. Right?  That is working out well with student debt as well. Right?  More people on means-tested benefits than actually working full-time should work out well. Right?  You don’t need to be an economist to know this is not a good sign.

Just like the housing bubble that burst, the dot com bubble before it, and the current student loan bubble that is bursting now, borrowing to support the means-tested benefits bubble will also burst.

Are you prepared?

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About Russ Steele

Freelance writer and climate change blogger. Russ spent twenty years in the Air Force as a navigator specializing in electronics warfare and digital systems. After his service he was employed for sixteen years as concept developer for TRW, an aerospace and automotive company, and then was CEO of a non-profit Internet provider for 18 months. Russ's articles have appeared in Comstock's Business, Capitol Journal, Trailer Life, Monitoring Times, and Idaho Magazine.
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3 Responses to What is Unsustainable, Will Not Be, Years of Economic Reckoning are Coming

  1. Russ Steele says:

    Dena,

    Not sure what you mean by “make work pay tax credit part of the calculation? Will see if I can find a link to the Census study and we will what was in the calculation.

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  2. Dena says:

    The question I have is the make work pay tax credit part of the calculation? If it is, they are counting a tax deduction as a welfare benefit. In both cases, the government is hiding the high cost of government and the failure of the recovery from the poor. In the roaring 20’s the real unemployment rate was less than 2%, and the highest tax rate was around 20%. Almost everything done to fix the economy today is the exact opposite of what was done to recover from WWI.

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