You are Screwed!

The current federal deficit (spending > revenues) as a percentage of GDP is slightly more than 10%.  Now, what was the growth rate of GDP last year, 2011?  Answer: ≈ 2%.  Therefore, without that deficit spending, the economy grew at a negative 8%.  Why is no one with the exception Karl Denninger at “Market-Ticker” discussing the negative impact of federal deficits on the GDP in the long run?  These federal deficits are not sustainable going forward.  Deficits have to be financed by issuing more debt.  There is almost no historical precedent where debt paid by the addition of more and more debt has been a successful operation. When this fact is recognized for what it is, the economy will tank into that infamous “Great Depression” abyss.  I know some of you are probably thinking that the government will never allow that to happen, because the Federal Reserve System is “omnipotence and omniscience.” Well, if you continue to believe that Pollyannaism, I do question your economic sanity.  And, when the managed economic chaos occurs, I hope you remember that someone did forewarn you.