Is the US economy already bankrupt? The world's largest economy reached its statutory debt limit last month. The US Congress must raise the US$14.3 trillion debt ceiling by 2 August 2011 to avoid the government defaulting on its loans. Renowned economist Larry Kotlikoff, a professor at Boston University, insists the US was broke long before the global financial crisis. US governments have been disguising the real level of national debt for decades, claims Kotlikoff who tips an imminent meltdown in the US bond market and skyrocketing inflation. Averting a future financial collapse requires numerous reforms, he suggests, including a switch from covert "trust me" banking to a new transparent system.