33 Stats That Prove That SOMETHING Desperately Needs To Be Done About The National Debt

By Michael Snyder, on October 17th, 2013

The U.S. national debt is
36 times larger
than it was just 40 years ago. That is not a misprint. That is
actually the truth. We are literally destroying the future of America,
but most Americans don’t really seem to care. In fact, the most hated
politicians in America are the Tea Party politicians that recently tried
to take a stand against the out of control borrowing that the federal
government has been doing. Pew Research has just released a new survey
that shows that the popularity of the Tea Party
is at an all-time low.
So while many Americans may say that they theoretically want something
to be done about the national debt, when push comes to shove they don’t
actually mean that. You see, the reality of the matter is that about
128 million Americans get money from the federal government every
month. That accounts for the majority of all government spending.
Anyone who tries to take those goodies away is going to be hated. So we
are going to continue down this crazy path until the system completely
crashes someday.
The “deal” that was just made in Congress does nothing to reduce our
spending or control the growth of our debt. It just kicks the decisions
about government spending and the debt ceiling down the road for a few
months.
In fact, the agreement on the debt ceiling did not actually place any
limits on how much the federal government can borrow over the next few
months. It just temporarily
suspended enforcement
of the debt ceiling. So the federal government could technically go
out and borrow trillions of dollars during the next few months and
nobody could do anything about it.
Let’s hope that does not happen.
And of course the “debt deal” contained
all kinds of pork that will benefit certain politicians that were instrumental in putting together the deal.
When are the American people finally going to get sick and tired of this kind of thing?
Meanwhile, our debt problem continues to get even worse. The
following are 33 stats that prove that SOMETHING desperately needs to be
done about the national debt…
#1 The U.S. national debt is on pace to more than
double during Obama’s eight years in the White House. In other words,
under Barack Obama the United States will accumulate more debt than it
did
under all of the other presidents in U.S. history combined.
#2 During fiscal year 2013, the U.S. Treasury paid off
$7,546,726,000,000 in maturing U.S. government debt and issued
$8,323,949,000,000 in new debt. In fiscal year 2014 those numbers will be even larger.
#3 In September, the average rate of interest on the government’s marketable debt was
1.981 percent. In January 2000, the average rate of interest on the government’s marketable debt was
6.620 percent. If we got back to that level today, it would collapse our entire financial system.
#4 Between 2008 and 2012, the ratio of government debt to government income increased
from 4.0 to 6.6.
#5 Between 2008 and 2012, U.S. government debt grew by
60.7 percent, but U.S. GDP only grew by a total of about
8.5 percent during that entire time period.
#6 Since 2007, the U.S. debt to GDP ratio has increased from 66.6 percent to
101.6 percent.
#7 A revised IMF policy paper entitled “
An Analysis of U.S. Fiscal and Generational Imbalances: Who Will Pay and How?” projects that U.S. government debt will rise to about 400 percent of GDP by the year 2050.
#8 At this point, the federal government hands out money to approximately
128 million Americans every single month. In case you were wondering, that is about 41.3 percent of the population of the entire country.
#9 Back in 1980, the U.S. national debt was
less than one trillion dollars. Today, it is rapidly approaching 17 trillion dollars.
#10 Since the year 2000, the size of the U.S. national debt has grown
by more than 11 trillion dollars.
#11 During Barack Obama’s first four years in the
White House, the amount of new debt accumulated by the federal
government breaks down to approximately
$50,521 for every single household in the United States.
#12 The United States already has more government debt
per capita than Greece, Portugal, Italy, Ireland or Spain.
#13 At this point, the United States government is responsible
for about a third of all the government debt in the entire world.
#14 According to the U.S. Treasury, foreigners hold approximately
5.6 trillion dollars of our debt.
#15 The amount of U.S. government debt held by foreigners is
about 5 times larger than it was just a decade ago.
#16 If the federal government used GAAP accounting
standards like publicly traded corporations do, the real federal budget
deficit for 2011 would have been
5 trillion dollars instead of 1.3 trillion dollars.
#17 As I noted
recently, if the U.S. national debt was reduced to a stack of one dollar bills it would circle the earth at the equator
45 times.
#18 How much money is one trillion dollars? If you
were alive when Jesus Christ was born and you spent one million dollars
every single day since that point, you still would not have spent one
trillion dollars by now.
#19 If right this moment you went out and started spending one dollar every single second, it would take you
more than 31,000 years to spend one trillion dollars.
#20 If you started paying off
just the new debt that the U.S. has accumulated during the Obama administration at the rate of one dollar per second, it would take
more than 189,000 years to pay it off.
#21 The U.S. national debt is now more than 5000 times larger than it was when the
Federal Reserve was first established in 1913.
#22 If Bill Gates gave every single penny of his
entire fortune to the U.S. government, it would only cover the U.S.
budget deficit
for 15 days.
#23 The federal government is stealing close to 100
million dollars from our children and our grandchildren every single
hour of every single day.
#24 Historically, the interest rate on 10 year U.S. Treasuries has averaged
6.68 percent.
If the average interest rate on U.S. government debt rose to that level
today, the U.S. government would find itself spending more than a
trillion dollars per year just on interest on the national debt.
#25 Federal spending on entitlement programs has been increasing
six times faster than population growth has.
#26 Overall, the federal government runs nearly 80 different “
means-tested welfare programs“, and almost all of them are experiencing explosive growth.
#27 According to a Government Accountability Office
report that was released earlier this year, Obamacare is going to cause
the federal debt to rise by
$6.2 trillion.
#28 If you can believe it, today
more than 70 million Americans are on Medicaid, and it is being projected that Obamacare will add
16 million more Americans to the Medicaid rolls.
#29 As I have written about
previously, the number of Americans on Medicare is projected to grow from a little bit more than 50 million today to
73.2 million in 2025.
#30 Medicare is facing unfunded liabilities of more than 38 trillion dollars over the next 75 years. That comes to approximately
$328,404 for each and every household in the United States.
#31 It is being projected that the number of Americans on Social Security will rise from about
62 million today to more than
100 million in 25 years.
#32 Overall, the Social Security system is facing a
134 trillion dollar shortfall over the next 75 years.
#33 Boston University economist Laurence Kotlikoff
is warning that the U.S. government is facing a gigantic tsunami of
unfunded liabilities in the coming years that we are counting on our
children and our grandchildren to pay. Kotlikoff speaks of a “fiscal
gap” which he defines as “the present value difference between projected
future spending and revenue”. His calculations have led him to the
conclusion that the federal government is facing a fiscal gap of
222 trillion dollars in the years ahead.
Our financial situation is clearly not even close to sustainable. We
are heading for an inevitable collapse, but in the aftermath of the
“deal” in Congress, Barack Obama
declared
that all Americans “need to stop focusing on the lobbyists, and the
bloggers, and the talking heads on radio”. Apparently he does not want
you reading articles like this or listening to radio programs that are
warning about the dangers of our national debt.
At the same time, the U.S. government continues to waste money
in some of the most bizarre ways imaginable.
It is almost as if they don’t even care that they are destroying the
future of our children and our grandchildren with their incredibly
reckless spending.
And of course the mainstream media is very much on the side of the
big spenders. In recent weeks, those that identify themselves with the
Tea Party have been endlessly called names on the big mainstream news
networks even though they are just about the only ones that are trying
to pull us back from the path to self-destruction that we are on.
The big mainstream news networks have portrayed those that identify
with the Tea Party as idiots and morons, but the truth is that
studies have found that Tea Partiers are better educated, more scientifically literate and have higher incomes than the general population.
The real idiots and morons are the ones that want us to continue down
this road to financial oblivion. We have accumulated the largest
mountain of debt in the history of the world, and unless something
dramatic is done, America is not going to have any kind of a future.