National Debt 2019

Folder: 
A New View

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PER THE INTERNET: 

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"In dollar figures, federal debt has risen from from $5 trillion in 2007 and $7.5 trillion in 2009 to more than $18.2 trillion today (2015). And the downright ugly part is this amount of debt is even more than our nation’s entire Gross Domestic Product, or the annual dollar value of all goods and services produced by the U.S., which was $17.9 trillion for 2015."

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Per The US Treasury: 

 

  • "Debt held by the public will increase by more than $12.5 trillion under current law over the next decade – from $16.1 trillion today to $28.7 trillion by 2029. Debt as a share of the economy will rise rapidly, from today’s post-war record of 78 percent of GDP (Gross Domestic Product) to nearly 93 percent of GDP by 2029. Under Congressional Budget Office's (CBO)Alternative Fiscal Scenario (AFS), debt will reach 105 percent of GDP by 2029, approaching the all-time record set just after World War II."

The good news is that eventually we woke up post WWII and paid off the debt and brought it down to a point where collapse of the entire financial system was avoided. In 2019, and for the 2020-21 budgets, we depend to heavily on free tax dollars which leave insufficient funds for emergencies and replacement parts like infrastructure. 


Per Debt Busters: What was the National Debt in January 2009?

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Courtesy of the U.S. Treasury Department (www.treasurydirect.gov). The National Debt on January 1, 2009 was: $10,669,804,864,612. When President Barack Obama was inaugurated on January 20, 2009, the National Debt was:
$10,626,877,048,913.08. In 1959, the interest paid on the National Debt was $7,592,769,000 (The total debt was $290,797,771,717.63 that year) In Fiscal Year 2009, the interest paid on the National debt was:
$383,071,060,815.42 (greater than the total debt in 1959)

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Trillions, baby! Interestingly, I read these figures and think: Why does The House and The Senate NOT stop spending trillions beyond their ability to bring in tax revenues to pay for this extravagant spending? Is that not the rationale for raising (not lowering) taxes? The goal is to raise wages to bring in more, yes, but also to be fiscally responsible with the people's tax dollars. Ending wars would be a start and trimming the Pentagon's budget by half should make a dent in the outlays. Somebody convinced Congress that war keept the economy stimulated and Recession at bay. Point of diminishing return alwyas intevenes and dominoes tumble fast unstoppably. Let European Union police the world for a while, they are flush with cash. 

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Social Security and Medicare are tilting the scales; after 2025, those figures should start to come down drastically as octegnarians die in larger numbers. I hear about somebody I know dying every week - I'm 69. These folks are dying at 50 and 60. Add accidents and suicides and Social Security should be seeing some relief soon. Goodbye Baby Boomers.

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It is time for usa to be productive again and not so dependent on the us government to finance the lifestyle they have come to enjoy without working for it. Everybody should contribute the same without any tax breaks. We are poised to collapse financially around 2030 if this practice of spending more than we earn continues. By 2029, at the current rate of spending and collecting tax revenues, national spending will be at 103 % of GDP. Something must change. It is time to tighten the belt and do without for a few decades. Time to stop buying high tech and start investing in urban and rural planning for global warming and the continued collapse of national infrastructure. 

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Trump is banking on the "robust" economy that is not trickling down much. The government's coffers are filled with dust and no cash. The minimum wage is now 15 dollars/hour, in most states, an interesting way to tax the wealthy entrepreneurs, but it also hurts start-ups and may drive small businesses into bankruptcy. It needs serious cut-backs and letting the uber wealthy out of paying was just stupid. They paid down debt and bought back their company's shares with the extra cash they did not have to give to workers or to the government. Is it me or does none of this make sense? If a major disaster strikes USA, we won't be able to afford it. 

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allets

08-18-19

956a

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