Gross Says Health Care Reform to Raise Liabilities

Gross Says Health Care Reform to Raise Liabilities

March 24 (Bloomberg) -- Bill Gross, manager of the world’s biggest mutual fund at Pacific Investment Management Co., said that health care reform will add to, rather than subtract from, U.S. deficits and unfunded liabilities.

“Long-term bond holders beware,” Gross wrote in a monthly investment outlook posted on Newport Beach, California-based Pimco’s Web site today. “No investment vigilante worth their salt or outrageous annual bonus would dare argue that current legislation is a deficit reducer. It will add $562 billion to the deficit over the next decade.”

President Barack Obama signed into law yesterday a $940 billion rewrite of U.S. health-care policy that the Congressional Budget Office said would cut the federal deficit. The measure will cut the deficit by $138 billion in the first decade and reduce the shortfall further in the next 10 years, the nonpartisan budget office said in a report last week.


Bloomberg

Well if this proves to be true it will be one of many lies we have been fed recently. I am growing tired of the slight of hand tricks that are played by government. I am not saying that this is 100% accurate, but it comes from someone that deals with massive funds on a daily basis. I think this country cannot afford to continue spending our way into oblivion. We need to start being fiscally responsible, and we need to start before we wind up like portugal who just had their AAA credit rating downgraded today. What do you think of this if it proves to be accurate?