How Are the Us Financials Affecting the Future?
How are the US Financials affecting the future?
Net Cost of Government Operations
Revenue
Excess of Net Cost of Government Operations
$1,515.70
$1,386.10
($129.60)
$1,601.10
$1,346.00
($255.10)
$1,646.50
$1,448.60
($197.90)
$1,603.30
$1,576.70
($26.60)
$1,854.00
$1,720.20
($133.80)
$1,756.00
$1,832.90
$76.90
$1,998.80
$2,044.80
$46.00
$2,545.80
$2,013.70
($532.10)
$2,259.70
$1,877.70
($382.00)
$2,485.50
$1,796.00
($689.50)
$2,524.90
$1,912.70
($612.20)
$2,949.80
$2,185.50
($764.30)
$2,901.30
$2,440.80
($460.50)
$2,909.50
$2,627.30
($282.20)
$3,640.70
$2,661.40
($979.30)
$3,434.70
$2,198.40
($1,236.30)
$4,296.00
$2,216.50
($2,079.50)
$3,660.80
$2,363.80
($1,297.00)
($9,935.00)
*In Billions
Location, Location, Location! In real state you have probably heard the phrase a million times. In the case of the United States Government (US) you can substitute the words for “Spend, Spend, Spend”. The state of our current economy is a factor of increased government spending to not enough revenues, the deficit grows bigger by the second and there is no turning back other than the gradual cutback to avoid further chaos. The table and graph to the right of the page depict the Net Cost of Government Operations and it compares them to spending for the same period (data compiled from the financial statements of the US from years 1994-2011). Based on the data it becomes apparent the growth of the difference for said revenues to the cost of operations. In 1994 the difference in figures was a deficit for the year of $129.60 billion while in 2011 that number was $1,297 billion, in just 17 years the value has increased 10 fold. The combined deficit for that period of times becomes $9,935 billion dollars. At that pace the only outcome is the destruction of the US economy.
The simple values in the table and chart make this correlation clear but in a deeper look at the financial statements other important facts can be determined. The cost of operations has increased from $1,515.70 billion in 1994 to $3,660.80 billion in 2011, 241% increase