Regardless of political affiliation, this summary explains the federal government’s budget and predicament.
The fiscal cliff put in a much better perspective:
Lesson No. 1
• 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 cuts: $38,500,000,000
Let us now remove eight zeros and pretend it is 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 so far: $38.50
Got it? OK, now consider this.
Lesson No. 2
Another way to look at the debt ceiling:
Say you come home from work and find there has been a sewer backup in your neighborhood. Now your home has sewage all the way up to your ceilings. What do you think you should do? Raise the ceilings, or remove the sewage? Author: Unknown
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