US federal liabilities are now 400% of GDP

THE UNITED STATES IS INSOLVENT. Some analysis on a recently released report from the US Treasury.

US Comptroller David Walker: "Despite improvement in both the fiscal year 2006 reported net operating cost and the cash-based budget deficit, the U.S. government’s total reported liabilities, net social insurance commitments, and other fiscal exposures continue to grow and now total approximately $50 trillion, representing approximately four times the Nation’s total output (GDP) in fiscal year 2006, up from about $20 trillion, or two times GDP in fiscal year 2000."

This reinforces a recession prediction.