Monday, February 1, 2010

So, How Do You Think This Movie Will End?

See Also: We Are So Screwed

These two charts tell you pretty much all you need to know about the state of the US economy.  They also, unfortunately, provide some clues as to how this movie will end.

First, from John Mauldin, the state of the U.S. government's finances.  The red line is spending.  The blue line is tax revenue.

US Government Spending Versus Revenue

Can you imagine if that was your household?

Second, from Ned Davis, the state of our country's debts, as measured by debt as a percentage of GDP.  The little peak to the left was the debt mountain we accumulated during the Great Depression, which took a decade to work off.  The, um, bigger peak to the right, is the one we've accumulated now.

debttogdp3.png

So how will this movie end?

continue reading…

3 comments:

  1. Thank you, sweetheart.

    You really made my day.

    Now . . . where is that gun?

    S

    Okay. I saw the Mauldin one already.

    The debt one is why we will see no recovery in our lifetimes.
    ________________

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  2. I recently came across your blog and have been reading along. I thought I would leave my first comment. I don't know what to say except that I have enjoyed reading. Nice blog. I will keep visiting this blog very often.

    Lucy

    http://forextradin-g.net

    ReplyDelete