Why S&P Downgraded the US:
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 [April] budget cut: $38,500,000,000
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 (this year) on the credit card: $16,500
Outstanding balance on the credit card: $142,710
Budget cuts: $385
I'd suggest that the first place Senator RoJo should demonstrate this is in the House of Representatives--specifically, in Boehner's office. Right on Boehner's FACE.
HT: AOSHQ
However, that is NOT why S&P downgraded the US Credit Rating. It's not because we are in debt and have a huge deficit. It's because they have concerns about the governments ability, perhaps even willingness (read Tea Party) to work together to solve the budget problems.
ReplyDeleteEveryone understands the numbers, regardless of the number of zeroes behind them.
I think the public is starting to understand the numbers.
ReplyDeleteDavid