The U.S. federal debt has now passed $37 trillion and is growing at the rate of $1 trillion every five months. Interest on the debt exceeds $1 trillion annually, second only to Social Security in the federal budget. The military outlay is also close to $1 trillion, consuming nearly half of the discretionary budget.
As a sovereign nation, the United States could avoid debt altogether by simply paying for the budget deficit with Treasury-issued “Greenbacks,” as Abraham Lincoln’s government did. But I have written on that before (see here and here), so this article will focus on that other elephant in the room, the Department of Defense.
Under the Constitution, the military budget should not be paid at all, because the Pentagon has never passed an audit. Expenditures of public funds without a public accounting violate Article 1, Section 9, Clause 7of the Constitution, which provides:
No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law; and a regular Statement and Account of the Receipts and Expenditures of all public Money shall be published from time to time.
The Pentagon failed its seventh financial audit in 2024, with 63% of its $4.1 trillion in assets—approximately $2.58 trillion—untracked. From 1998 to 2015, it failed to account for $21 trillion in spending.
As concerning today as the financial burden is the wielding of secret power. Pres. Dwight Eisenhower warned in his 1961 farewell address, “In the councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military-industrial complex. The potential for the disastrous rise of misplaced power exists and will persist.”
Filed under: Ellen Brown Articles/Commentary | Tagged: Donald Trump, economy, Elon Musk, federal debt, history, military spending, news, Pentagon secrecy, politics, UFOs | 3 Comments »
WEB OF DEBT BLOG 
Why New York City Needs a Public Bank
New York City has elected a mayor who dares to challenge the status quo. Zohran Mamdani swept into office on a platform of affordability, municipal ownership and economic justice. But Mamdani’s plan to fund his reforms through $9 billion in new taxes on corporations and high earners is already bumping up against political and fiscal realities.
Income taxes are the province of the state, not the city, and NY State Governor Kathy Hochul is standing firm in her resistance to raising them. Pres. Trump has vowed to “cut off the lifeline” to the city, pledging to reduce federal aid to the legal minimum. And Mamdani’s proposals are said to be triggering capital flight. Wall Street is mobilizing. The city’s budget is strained. So where will the money come from?
Continue reading →Filed under: Ellen Brown Articles/Commentary | Tagged: economy, politics, public banking | 3 Comments »