• 557 days Will The ECB Continue To Hike Rates?
  • 557 days Forbes: Aramco Remains Largest Company In The Middle East
  • 559 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 958 days Could Crypto Overtake Traditional Investment?
  • 963 days Americans Still Quitting Jobs At Record Pace
  • 965 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 968 days Is The Dollar Too Strong?
  • 969 days Big Tech Disappoints Investors on Earnings Calls
  • 969 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 971 days China Is Quietly Trying To Distance Itself From Russia
  • 971 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 975 days Crypto Investors Won Big In 2021
  • 976 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 976 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 979 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 979 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 982 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 983 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 983 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 985 days Are NFTs About To Take Over Gaming?
  1. Home
  2. Markets
  3. Other

The Story of How Entitlements Reached 200% of GDP

Seventy-five years of positive mood trend has entrenched the idea that the state can afford to support an ever-expanding percentage of its citizens, including even the more affluent. -- Alan Hall, May 2012 Socionomist

Please take a moment and think about that sentence with me. It offers a wealth of information already, yet it's even more instructive to consider what happens if you delete the first major premise. Here's what I mean:

The state can afford to support an ever-expanding percentage of its citizens, including even the more affluent.

That is a straightforward claim. And the truth is, at least two generations of Americans agreed with the claim enough to vote in legislators who acted on it.

Now, what I removed from the sentence was the reason for the claim. Because the point I wish to make is, some reasons make more sense than others. For example, the original sentence could have said this:

America is a rich country, so the state can afford to support an ever-expanding percentage of its citizens, including even the more affluent.

But that's not satisfying or even credible. America has always been a rich country. But it has not always had Federal entitlement programs, much less so many of them that they amount to 200% of GDP.

So, if the question is:

How and why could Americans ever think that straightforward claim was true?...

 


... Then socionomics offers a uniquely credible AND satisfying answer. It's worth your time to understand that answer in full -- and to get your head around the forecast that comes with it. The entitlement state as we know it may well be about to enter a very different future.

Read it for yourself, right now.

If you would like to receive the best of Social Mood Watch and other free socionomics content each week, sign up here.

This article is syndicated by The Socionomist, a publication of the Socionomics Institute, and was originally published under the headline The Story of How Entitlements Reached 200% of GDP. The Socionomist is designed to help readers understand and anticipate waves of social mood. Copyright © 2012 Socionomics Institute.

 

Back to homepage

Leave a comment

Leave a comment