This transcript is automatically generated
Apt is obvious.
Now to what -- folks behind that study built -- From the heritage Foundation's bill spelling out what's what what what does this mean.
Well you know we've just been through this fiscal cliff and we kind of fell over written that we -- back the other way is it's it's in front of -- massive amounts of debt trillions of dollars sixteen trillion.
What's behind that well it turns out that payments to people like we -- maybe even us.
Is behind -- if the payments to people were a budget all by itself are a government department.
It would be 70%.
Of the entire.
Federal government's out place.
-- took two people and what we've done in this report is simply gone that we went through the data using US census data this is from the marks supplement of 2011.
And we have identified.
-- to sit -- send money to people without double counting.
Those people so if you get food stamps in Social Security are not counted twice the only ones.
It's a 128 million people -- and -- and that's the that's an enormous population by any stance and as you pointed out it's -- trajectory to grow.
Substantially so what's behind the fiscal crisis.
It's transfers to -- bad for the bottom 90% of the.
Sustainable I mean more people are.
Are taking -- -- didn't get out ahead and I I guess we're blood ally may assays not judgmental about -- -- -- reading the writing on the wall and saying here's what's going on.
And and it doesn't -- get -- to how we Pedro licences simple fact of the matter is what we're doling out right now.
And and I just worried after reading your study.
That if it doesn't seem to be an -- -- -- politicians to cut spending and judging by the latest -- agreement they're doesn't.
Then we gotta find a way to pay import and and that means tax and a lot higher -- a lot more than we are.
And -- and and here's the worst part as the federal debt -- in this growing because transfers persons.
That's the principal driver.
As it grows it slows the economy when an economy.
Hand as a federal or national debt burden.
That's in excess of 70% the size of that economy.
Every economy since about eight to you know to has slowed down from its potential that's a lot of talk here but what it means -- It's harder to create jobs it's harder to create income just harder to get people.
Off a government programs its -- easier to put them on them that off because you don't have the private sector jobs do there.
So we're in a very.
Very difficult mess here we the main problem is not in -- The spending on on horses and pigs it as good as they -- it would be easier to cut spending on its on our neighbors it's it's one out of it's what it's really one out of every three Americans we get this turnaround is a EU EU EU you're getting government programs and -- -- as we have I earned them you know -- I qualified foreign.
Well you see how difficult it becomes -- have to cut.
-- on -- wouldn't mind everyone's from -- yeah our but still beats amazing amazing study thank you very much.
We welcome the you know all of.