Do you all want a good, heartwarming news story?
Then don’t look at the newly released 2009 Financial Report Of The U.S. Government.
Then again, none of what is included in this report should come as a shock to anyone.
For starters, the budget deficit was $1.417 trillion, which is a new record.
The total liabilities of the U.S. government climbed from 12.178 trillion dollars at the end of 2008 to 14.123 trillion dollars by the end of 2009. At this rate, every last penny of federal revenue will be gone by 2020.
If this kind of spending is slowed down even slightly, we could be thrown into another Depression, although some say we’re in one anyway.
The main point made throughout the entire novel-length report is that spending is up, while revenues are down – a recipe for fiscal disaster in any situation. The government is somewhat like a shopaholic with an endless supply of credit cards – a jobless shopaholic. However, according to the report, this brand of spending is justified.
According to a chart in the report, federal net outlays (which is basically income minus expenditures) have increased dramatically in the past decade.
And, according to another chart, interest on new debts will account for nearly 70 percent of the nation’s GDP at current rates by 2080 – Medicare will account for another 30 percent.
One writer from the economiccollapseblog.com asks “Are you prepared to saddle future generations with interest payments that gobble up 30 percent of GDP?” Let’s just hope the government isn’t.
I think that by now the picture is clear, whether you follow charts or words. The United States has been on a path to economic destruction fueled by incessant spending and a major lack of any income to cover the hemorrhaging. It is also clear that future generations are essentially screwed unless something changes that’s more conducive to economic growth.
No matter what party you affiliate with, our first goal must be to find a way to control the three-headed monster that has become our economy. These are all things you have heard before, but action must be taken now. This report truly shows how bleak the future of this nation really is. The government should send a copy of this report to every high school in America and have it put on display for all of the students to see – if they really want a glimpse into their future, this report serves that purpose more than anything.
Blame will do us no good; neither will partisan quarreling. There can be no instant fix, and that fact alone should alleviate some of the tension towards Obama and get people thinking on the right track.
Until then – who here is in favor of auctioning off the White House?
You can view the damage in its entirety here within the confines of a 254-page reminder that the liquor store isn’t far away: http://www.gao.gov/financial/fy2009/09frusg.pdf