Does the size of the numbers of our budget deficit and national debt make your head spin? You’re not alone.
To understand why Standard and Poor’s downgraded the United States’ credit rating, all you need to do is look at this analysis done by The Gainesville Tea Party.
Even liberals should be able to figure this one out. Especially the last line that shows how serious Washington is about restoring fiscal sanity and our economic health.
Keep in mind also that this analysis does not include the, absent any reforms, forty-three trillion dollars in unfunded and mandated obligations of Medicare and Social Security.
Why S&P Downgraded the US:
U.S. Tax revenue: $2,170,000,000,000
Federal budget: $3,820,000,000,000
New debt: $ 1,650,000,000,000
National debt: $14,271,000,000,000
Recent budget cut: $ 38,500,000,000
Let’s remove 8 zeros and pretend it’s a household budget:
Annual family income: $21,700
Money the family spent: $38,200
New debt on the credit card: $16,500
Outstanding balance on the credit card: $142,710
Total budget cuts: $385
$385 of a cut is not serious. It’s laughable. Because this administration does not ever intend to reach a balanced budget.
Add to this example the annual deficits of the Obama Administration, $5 trillion. Add to that the $43 trillion in the unfunded obligations of Medicare and Social Security and the reality of all the debt we are facing as a country looks like this.
Outstanding balance on the credit card: $190,710
Total budget cuts: $385