Dear John: I have really enjoyed your columns over the years and consider you one of the last few real investigative reporters out there. But regarding the total US assets, you might consider http://www.usdebtclock
.org/index.html, which is a running total of the US debt as well as assets. I love this Web site because it also breaks it down into government, business and other interesting figures. As of my writing this e-mail, total US assets are over $75 trillion. Keep in mind this $75 trillion is also the sum of small business, corporate and household assets. My understanding of past research indicated that the General Accounting Office in 2007 said the federal government had the following:
— $1.2 trillion in buildings and equipment
— $919 billion in land
— $392 billion in mineral rights.
Many of these assets are neglected and deteriorating, especially with a contracting economy. Furthermore, as you know, an asset’s value is really only as high as a buyer is willing to pay.
The problem we face is that Americans are just going to have to accept a lower standard of living going forward. Despite over $75 trillion in assets, private or government, those assets are way overshadowed by the sum of current liabilities and future unfunded liabilities.
The fact that the US has been borrowing to fund current liabilities has simply brought the problem to the forefront. And our current crop of politicians know that the public is not willing to face the music, which is why they are unwilling to be honest about it. Hence, every year we have this political posturing. The current debt-ceiling debacle is just one example of that. R.S.
Dear R.S. Thanks for the details. I’m glad you like me, or you really might have taken me to task. As the song says, “from the mountains, to the valleys, to the oceans white with foam.”
But the problem with assets, of course — whether mountains or valleys — isn’t just that they are only worth what someone is willing to pay — they are also illiquid. Sure we have assets, just like our kids have unlimited possibilities. Unlocking both is very tricky and maybe impossible.
And by the way, a high living standard is not a birthright. It’s like a plant. It needs to be fed and watered for it to continue to grow. We’ve been neglecting our plants.
Send your questions to Dear John, The N.Y. Post, 1211 Ave. of the Americas, N.Y., N.Y., 10036, or john.crudele@nypost.com.
