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Friday, August 19, 2011

America's Debt Ceiling Put Into Perspective

Do you think anyone in Washington, Republican or Democrat, is really serious about reducing the federal deficit?
If you know anybody who just can't grasp the stupidity
of this so called "debt limit deal". Try this, it can't get much clearer.

Federal Budget: $ 3,820,000,000,000 (3.82 Trillion)
Income: $ 2,170,000,000,000 (2.17 Trillion)
New Debt: $ 1,650,000,000,000 (1.65 Trillion)
Amount Cut: 38,500,000,000 (38.5 Billion) – about 1% of the total budget.
National Debt Total: $ 14,271,000,000,000 before this years budget.
Harry Reid is calling this a "historic amount".
The President said it is a "historic deal".
John Boehner simply said, "We've come to an agreement".

Let's Put This In Perspective.
It helps me to think about these numbers in terms that we can relate to.

Let's remove
eight zeroes from those numbers and pretend this is a
household budget for the fictitious Jones family.

Amount of money the Jones family spent this Year: $38,200
Total income for the Jones family this Year: $21,700
Amount of new debt added to the credit card this Year: $16,500
Outstanding balance on the credit card: $142,710
New outstanding balance on credit card: $159,210

So last week, the Jones family sat down at the kitchen table
and agreed to cut
$385 from their yearly budget.
A historic amount!

Wonderful isn't it?

And yet some of these Politico Pundits are seeking Re-election.