Thursday, September 20, 2012

Putting the national debt in perspective

In January 1984, when the Grace Commission issued its report, its estimate that the national debt would exceed $13,000,000,000,000 in 2000 unless action was taken to reduce wasteful spending was loudly and roundly dismissed as being outrageously pessimistic and extremely unlikely. The projection was not inaccurate; it was just premature.
On September 4, 2012, as Democrats began their convention to celebrate the re-nomination of President Obama and tout his achievements as one of the reasons to elect him for four more years, there were no speeches commemorating the fact that earlier that day, the Treasury announced that the national debt had exceeded $16,000,000,000,000. The subsequent speakers also assiduously avoided any discussion of this “achievement.” Clearly, the convention took place in an alternate universe where the debt is simply unworthy of discussion; an insignificant sideshow rather than a massive obligation.
Really?
The following provides some perspective on the significance of the gross national debt exceeding $16,000,000,000,000:
It is such a large number that it takes a fair amount of brainpower just to write out (and double check) the correct number of zeroes.
The national debt has increased from $10.6 trillion to $16 trillion, or 50 percent, since President Obama took office.
The national debt will increase from $16 trillion to $25.4 trillion in 2022, or 59 percent, under President Obama’s budget plans.

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