Monday, March 9, 2009

A Trillion Dollars

So the government is throwing around all kinds of money.
Our money.
Everyone is tossing around the word "trillion dollars" and I, as well as a few others, don't think there is any connection in our collective minds as to how much money a trillion dollars really is.

First of all, it is written as $1,000,000,000,000 with 12 zeros. Simply written, it is 10 to the twelfth power.


A trillion is a million million. It's a thousand billion.

It's a huge number for sure... so huge we cannot adequately relate to that amount - especially with regard to cash.

To help you visualize how much a trillion really represents in dollars I want to share with you a webpage that will help bring that amount into focus.

Check out this page "What Does A Trillion Look Like" and this one too comparing a trillion pennies to a football field.

It also looks like this:

Obama's Budget: Almost $1 Trillion in New Taxes Over Next 10 yrs, Starting 2011

President Obama's budget proposes $989 billion in new taxes over the course of the next 10 years, starting fiscal year 2011, most of which are tax increases on individuals.

1) On people making more than $250,000.

$338 billion - Bush tax cuts expire
$179 billlion - eliminate itemized deduction
$118 billion - capital gains tax hike

Total: $636 billion/10 years

2) Businesses:

$17 billion - Reinstate Superfund taxes
$24 billion - tax carried-interest as income
$5 billion - codify "economic substance doctrine"
$61 billion - repeal LIFO
$210 billion - international enforcement, reform deferral, other tax reform
$4 billion - information reporting for rental payments
$5.3 billion - excise tax on Gulf of Mexico oil and gas
$3.4 billion - repeal expensing of tangible drilling costs
$62 million - repeal deduction for tertiary injectants
$49 million - repeal passive loss exception for working interests in oil and natural gas properties
$13 billion - repeal manufacturing tax deduction for oil and natural gas companies
$1 billion - increase to 7 years geological and geophysical amortization period for independent producers
$882 million - eliminate advanced earned income tax credit

Total: $353 billion/10 years

Also, take a look at Mr. Obama's $3.6 Trillion dollar budget

Yup, a trillion is a very huge number.
Our children will have to work long and hard to pay down a deficit of this magnitude.
Entitlement spending - Deficit Spending - now that's immoral.

Just look what Hope and Change translates into:
$700 billion bailout rescue fund (TARP)
$410 billion mortgage bailout
$750 billion more in a subsequent "placeholder" bailout
$634 billion health-care fund would cover the entire cost of providing health coverage to all Americans (which experts say could cost much more).

etc. etc.

It's just plain insanity.
By the way - taxing the rich will not be enough to pay for all of this, and in the end we will ALL be made very very poor.

(H/T Leann S.)


Anonymous said...

The stupid people that voted for "change" are certainly getting exactly that. Because that is all that will be left in our pockets after Obama and his cronies get through. Change. Yeah. Just change.

Silent_Majority said...

I think there is such a disconnect in understanding numbers this big. The average American just doesn't get what this means. Our children, on the other hand, will understand it completely as they are forced to pay back what this administration is spending on their behalf. Its a travesty and I hope that more people will wake up and smell the manure they are piling up around us.

Dy said...

I love that the bulk of the tax hikes don't start until someone *else* takes office. Brilliant. Absolutely brilliant.

Untangling this knot will be a feat daunting to even the boldest Greek heroes, won't it?

Anonymous said...

Story Obama already faltering on transparency promise.