Sunday, June 27, 2010

Let's look at the numbers

U.S. GDP $14T
U.S. Gov budget  $3.5T (25% of GDP)
U.S. Gov  deficit $1.43 T (12.3% of GDP)

To balance the budget, considering the coming entitlement wave and the government consuming 25% of GDP, we either can take everybody's money in taxes or we can grow the GDP.

Building bridges ain't going to cause a 5+% rise in GDP baby.

1 comment:

Baxter said...

Tax revenue of 25%/GDP would be less - a lot less - than most western industrialized countries and would balance the budget. What do you have against a balanced budget?