A sequester you say? America’s profligacy

Analysis of America's spending revenue, February 2013 to March 2013

With all the talk of sequester, I thought I’d take a closer look at the money. Not so much where it comes from – more on that later – but where it goes and how much is spent on what. The chart above shows that we as a nation are spending 63% more money than we generate. The deficits are funded by the kindness of strangers, the foreign nations that lend us money. As of late they have become somewhat nervous, with The Chinese urging America to “… to reduce debt …” once the economy recovers. But we know our politicians won’t listen. And don’t be fooled – in order to keep the spending up America is lending itself money.

That is really not a good idea.

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