Thursday, June 20, 2013
Bowdoin College graduate and legendary investor, Stan Druckenmiller, is reaching out to America’s youth with a warning: Your grandparents are stealing your future.
Click here to read the Bloomberg.com article http://www.bloomberg.com/news/2013-03-01/druckenmiller-sees-storm-worse-than-08-as-seniors-bankrupt-kids.html
Those in Mr. Druckenmiller’s industry invest personal savings, pension funds, and other assets for millions of American families and workers. That job requires evaluating what conditions create a strong economy, successful companies, and more jobs. The 1975 Bowdoin graduate has one of the best long-term investing track records.
Mr. Druckenmiller, 59, believes that the rapidly growing Medicare, Medicaid, and Social Security programs pose a greater threat to the future of our young than the $17 trillion national debt. These unaffordable entitlements currently account for 44% of all federal government spending. Druckenmiller says $200 trillion more in health care and retirement benefits is owed today’s seniors and others than there is money available to pay those benefits.
Without reforming these three behemoth programs, many believe that the next generation, or two, will be forced to pay destructively high taxes to fund the benefits. This will chase away business investment and jobs from our shores; dry up the necessary tax revenues to pay the surging benefits; and create a bleak future for our youth.
Druckenmiller commented in an hour-long interview on Bloomberg Television’s Market Makers, “I am not against seniors. What I am against is current seniors stealing from future seniors.” In 2010, there were 40 million U.S. citizens 65 and older. By 2020, there is projected to be 55 million. Mr. Druckenmiller thinks unsustainable overspending on Medicare, Medicaid, and Social Security will eventually cause a financial and economic crisis worse than the 2008 meltdown and resulting Great Recession.
Stan Druckenmiller is a board member of the Environmental Defense Fund. “Look at our young people who are obsessed with the environment… They are looking at the consequences of our actions 50 to 60 years from today.” He’d like to see this same commitment from them in addressing their deteriorating economic future.
Our elected officials created this darkening storm cloud. Runaway government overspending amassed the smothering national debt and huge unfunded entitlement programs. They should work together with the next generation to tackle these serious problems that are jeopardizing the employment prospects and financial security of our youth.
Bruce Poliquin is the former Maine State Treasurer and a 2012 Republican primary candidate for the United States Senate. He has 35 years of experience owning and managing businesses. Bruce is a proud third-generation Franco-American Mainer and Harvard University graduate. Visit BrucePoliquin.net for his most recent commentary and analysis on media outlets throughout the State about the important issues facing Maine families and their jobs.