How to understand the current financial shape of America

Chris Martenson did a comparative fiscal outlook for the US with that of a troubled relative earning $50,000 a year. A good friend of mine sent it to me. I now share it with you. Imagine if THIS WAS YOU.

I have a relative in financial trouble. He makes $50,000 a year, but he spent $74,591 last year, and his prospects of making $50,000 this year look kind of bad. There's a good chance he will get a pay cut.
Unfortunately, he’s been overspending for quite a while and has charged $295,632 on credit cards…

So here’s the picture:

· $50,000: Income

· $74,591: Expenses

· $24,591: Deficit (difference from income and expenses)

· $295,632: Short-term revolving debt at artificially low rates

· $2,372,632: Unfunded promises

· $1,292: A Republican friend suggests I cut from my budgeted expenses

· $137: A Democrat friend suggests I cut from my budgeted expenses

So, what does the future look like for my Uncle Sam? Do you think he can keep going like this much longer? What about his family that’s counting on the promises he made to them? Do you see any possible solution other than bankruptcy?

Multiply the above numbers by 47,620,000 and you get the fiscal picture for the United States Government in 2010:

· $2.381 Trillion: Revenue

· $3.552 Trillion: Budget

· $1.171 Trillion: Deficit

· $14.078 Trillion: Debt

· $113 Trillion: Unfunded Liabilities (Social Security, Medicare, Medicaid)

· $61.5 Billion: Republican proposed budget cuts

· $6.5 Billion: Democrat proposed budget cuts

http://www.chrismartenson.com/blog/how-explain-current-economic-situation-friends-and-family/54409