Veronique de Rugy on Entitlement Spending and America's Coming Transfer of Wealth
Because spending on entitlements will continue to outpace all other spending for years to come, they will consume a large and increasing share of the budget. In layman's terms, writes Veronique de Rugy, it means that the future of our government will be mostly to spend money on older Americans for their retirement and health care. Despite federal revenues slightly increasing during the coming decade, the government could still run cumulative deficits of $7.4 trillion over that 10-year period, according to CBO forecasts. Without any changes to our enormous entitlement programs, de Rugy observes, we are about to witness the most massive transfer of wealth from the relatively poor and young to the relatively rich and old in society.