I.O.U.S.A.

The documentary opens with a thorough examination of the U.S. economy as narrated by Bixby and Walker. They outline four critical deficits: budget, savings, balance of payments, and leadership, framing the discussion around the nation's financial state.

At the time of the documentary's release, the national debt surpassed $9.6 trillion, translating to approximately $30,000 for every American citizen. This staggering figure sets the tone for understanding the broader economic challenges ahead.

U.S. presidents, starting with Ronald Reagan, have raised alarms regarding the looming debt crisis over the years. Despite these warnings, the film suggests that there has been little effective action to resolve or mitigate the growing debt.

By February 2007, U.S. federal debt had escalated to $8.7 trillion, which comprised 64% of the GDP. This alarming growth trajectory is emphasized, particularly during George W. Bush’s presidency when debt more than doubled.

The documentary explores the impending social security payments to the retiring baby boom generation. This demographic shift poses a significant threat to the economy, potentially straining the already fragile financial system.

The film discusses America's deep-rooted spending habits during major conflicts, notably World War II and the Iraq War. These expenditures have left a lasting impact on the national debt and the economic landscape.

David Walker, the controller general of the USA in 2007, embarks on a nationwide campaign to raise awareness about the consequences of fiscal irresponsibility. His efforts aim to inform the public about the dangers posed by accumulating debt.

The film analyzes the emerging savings deficit, where American consumers are living beyond their means. The national savings rate plummets from 12.4% in the 1960s to a negative -2.9% in the 2000s, highlighting a culture deeply entrenched in debt.

The balance of payments issue arises as the documentary illustrates the massive trade deficit. The U.S. increasingly outsources more than it produces, leading to foreign ownership of significant assets and financial resources.

China’s overwhelming trade surplus is highlighted, showing its ownership of over $477 billion in U.S. debt. This places China in a powerful economic position, significantly influencing U.S. financial stability.

The documentary emphasizes the leadership deficit, noting the lack of decisive leaders willing to advocate for essential reforms. It calls attention to the need for increased savings and reduced reliance on foreign imports to stabilize the economy.

As the documentary progresses, it reveals that each U.S. household now bears an average debt of $90,000. This reality paints a grim picture of personal financial responsibility in the face of national economic challenges.

The film critiques George W. Bush’s administration for contributing to troubling trends such as a doubling of foreign debt, substantial tax cuts, and extensive military spending. These actions have compounded financial issues facing the nation.

The documentary concludes with alarming projections about the future of U.S. debt. It warns that by 2040, debt-to-GDP ratios could soar to 244%, making the need for awareness and action ever more critical.