The "Pink Elephant" Of US Government Spending No One Wants To Deal With

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		Tech Media Wall Street Markets Strategy Sports Tools Travel Politics Latest Video Friday, March 25, 2011 The "Pink Elephant" Of US Government Spending No One Wants To Deal With The current debate over the budget deficit has primarily focused issues such as tax reform, but there's an underlying, fast-growing problem no one wants to address. Societe Generale's Rudy Narvas points out that while we may be talking about cutting non-interest expenses and Social Security, it's health care we should be watching. From Rudy Narvas: While we debate about short-term spending cuts and tax reform, the pink elephant in the room remains healthcare spending. The only action we see on this issue is the chatter on how members of Congress are seeking spending cuts targeted at defunding Obama’s healthcare law. Healthcare spending will break the back of the government’s finances in the long term. As shown in the chart above, over the next 25 years healthcare will become the largest part of spending, at over 10% of GDP. Note that, with revenues projected to flat line, this health care problem becomes more and more worrying each year. Read » Also On Clusterstock Today: 16 More Profitable Companies That Pay Almost Nothing In Taxes Goldman Sachs Just Had Its Worst Quarter For M&A In Two Decades Citadel Is Disposing Of Its Hedge Fund Administration Business How To Get A Job At A Hedge Fund Right Now Advertisement CHART OF THE DAY: Here's More Proof That The Fed Didn't Create The Commodity Boom CHART OF THE DAY: Here's What Hedge Funds Bought When They Piled Into Stocks Last Week CHART OF THE DAY: Hedge Funds Bought The Frackin' Dip! Share this email: Buzz Facebook Twitter Digg Reddit StumbleUpon The email address for your subscription is: dwyld.kwu.careers@blogger.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Clusterstock RSS Feed Business Insider. 119 Fifth Avenue, New York, NY 10003 Terms of Service | Privacy Policy

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