At $8.5 Trillion already pledged by the US Government, the 2008 bailout of the financial sector has become largest single expenditure ever assumed by the US Government (Or any government). Just how large you ask? We’ve now exceeded the total cost of World War 2, The New Deal, Korean War, Iraq Invasion, Vietnam, The Louisiana Purchase, The Marshall Plan, S&L Bailout, The Moon landing & NASA. COMBINED! In inflation adjusted numbers!
Here’s the breakdown of the various government expenditures adjusted for inflation (In today’s dollars).
World War 2 $3.6 Trillion
Marshall Plan $115 Billion
Louisiana Purchase $217 Billion
Lunar Landing $237 Billion
Savings & Loan Bailout $256 Billion
Korean War $454 Billion
Roosevelt New Deal $500 Billion
Invasion of Iraq $597 Billion
Vietnam War $698 Billion
NASA $851 Billion
Total: $7.5 Trillion
2008 Bailout: $8.5 Trillion (And counting)
$8.5 trillion is nearly 4 times the amount of revenue that the US government takes in each year in taxes. It is nearly 75% of our entire GDP!
If the US government really wanted to help the economy, the could have eliminated the income tax for everyone for 2008. Actually, at $8.5 trillion, they could have eliminated all income tax for everyone for 2008, 2009, 2010, and 2011. Letting the people keep the fruits of their labor would have quickly increased consumption and demand. When you give a tax cut to the poor and middle class, they spend it. The rich put it in the bank.
There are going to be major consequences to these actions. By taking money from the many and putting it into the hands of the few, the government is deepening the already lopsided distribution of wealth in this country. These policy decisions move us one step closer to third world status. It is in the third world that most of the population is dirt poor while a tiny minority is extremely wealthy. I hope Americans wake up before it’s too late.
“The last official action of any government is to loot the treasury”
-Quote from Michael Rivero at Whatreallyhappened.com