What we find is that the median household income that would produce total federal tax receipts of $2,161.745 billion ($2,161,745 million) is $47,211. Since the median household income was $49,077 in 2009, this result strongly suggests that household median income fell rather dramatically in 2010.
And that brings us to today, just a day before mid-term elections in the United States. Here, most polling and prediction markets indicate that the current majority Democratic Party will lose control of the U.S. House of Representatives and will lose a significant number of seats in the U.S. Senate.
If our household median income projection for 2010 is any indication, a major reason why these political events will occur is because of the elected members of the Democratic Party's collective decision to pursue President Barack Obama's poorly considered health care reform legislation, which derailed the recovery in jobs, and a number of extraordinarily ineffective economic stimulus and bailout plans.
Their pursuit of these schemes have come at the expense of pursuing more effective alternatives that could generate both genuine economic growth and jobs, which we would recognize in the form of a median household income that grows robustly from year to year.
In other words, they are destined to lose on 2 November 2010 because they have led the United States down the wrong path and worse, have shown no signs that they intend to get on the right one, much less any real willingness to even recognize that they're on the wrong one.