The US Problem Explained!
Most people find millions, billions and trillions difficult to understand. Politicans are no exception.
The figures shown in ‘The US Problem Explained!’ reduced to a pretend household size, are alarming. The conversion is of course arbitrary and very broad-brush. Nevertheless the scaled-down figures give a much more understandable idea of the problems facing the US.
The US Problem Explained!
Here is why S&P downgraded the US credit rating.
- US Tax revenue: $2,170,000,000,000
- Fed 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
Now 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
Now that you see these figures, I am sure you will understand why I prefer gold to US dollars. If you feel you have missed the boat on the ten year bull market in gold, you should read ‘A Golden Mulligan‘ which I have just added under Articles.
Ian Watson