"Unfunded Liabilities"

   Im getting really annoyed about the "unfunded liabilities" myth. So here goes the logic in the future the United States government is going to have to pay baby boomers Medicare/Social Security. Now the issue i have is that it assumes the government makes no money off the programs. That Healthcare costs keep going up at extremely fast rates, and that the government policy will never change. The reasoning behind unfunded liabilities is that its the way that businesses do accounting. However there are two major differences. First the United States issues its own money, and the money is completely controlled by the Federal Reserve System (Also known as a Fiat Money System). This means that the US cannot go bankrupt. Now im obviously not saying that we can print infinite money, but we can cause high inflation relieving the burden of US debt. The second thing is that the US can change its policy at any time. A business can't just say they will not pay their power bill, if they do they would lose their power and go out of business. However the federal goverment can, and does regularly cut costly programs. So assuming we will never again cut a program borders on fantasy. As a sidenote investor confidence is close to a all time high on 30 year US T bills. Determined by their interest rates (Investors charge more interest on riskier investments).

Edit: Id also like to add that i don't consider them a non issue. However the hype regarding them, and throwing out numbers randomly between 25 trillion and 140 trillion helps noone and just goes to show the incredible ammount of guesswork involved. Id also note that this is over a 75 year stretch. I think the Healthcare reform law goes along way towards fixing the issue, but we do need more legislation not just to help relieve government debt, but to keep healthcare costs from strangling the private sector to.