More “Told ‘Ya Sos” On The Way: States
Anyone remember my warnings two years ago – and last year – related to municipal and state pensions?
Former House Speaker and possible GOP presidential contender Newt Gingrich is pushing for federal legislation giving financially strapped states the right to file for bankruptcy and renege on pension and other benefit promises made to state employees.
It’s not “renege”, it’s there’s no money and we can’t realistically raise it no matter what we do.
Folks, the math is what it is. And despite the people’s willingness to desperately believe in nonsense – like the ability of exponentially-growing promises to be met, they can’t be.
This includes Medicare by the way.
The states are just running into the wall first. And as I noted several times over the last year or two, it’s far easier to change a State Constitution, or the law, than it is to manufacture a couple of trillion dollars that does not exist.
You heard it here first folks…..
Pension Funds: Where Were You All These Years?
“The banks’ boards cannot continue to pretend the foreclosure mess is the result of technical glitches and paperwork errors,” Liu said. “There is a fundamental problem in their procedures that endangers not just homeowners, but shareholders, and local economies.”
No, really? You’re just figuring this out now, right?
Oh wait – that’s a lie. You folks were entirely complicit in the ponzi game from the start. You know, the one where you think you can earn 8% annually forever? Yeah, you know the rule of 72 too, just like the rest of the financial industry does, and you project out over “infinite” time horizons (50, 100 or more years) which means you also know how much money that compounding has to return.
Tell me, how much is $100 million compounded at 8% for 100 years?
How about $100 billion?
Where did you think it was going to come from?
Let me know when you’re willing to admit to your part in this intentional and willful deception all these years, and we can talk about how you were “duped.”
PS: If you allegedly have a “pension” funded by these clowns, you ought to be in the courthouse – right now – because they’re running a ponzi scheme that cannot possibly pay you. Illinois is running into this right now, and they’re just the first. I tried to warn y’all…..