Sunday, February 15, 2009

The Real State of the Union

Randall Hoven describes in simple terms the economic state of the union. "Overall, 2007 was a pretty good year, budget-wise. Since World War II, income has been around 18% of GDP. For the last 25 years in particular (1983-2007), it averaged 18.3%. So 2007's 18.8% was in fact a bit above average. (Note to liberals: tax rate cuts were not the problem."

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That was the good news -- 2007. It has been all downhill since. We are now talking in units of trillions of dollars. A trillion dollar bailout. A trillion dollar stimulus. A trillion dollar deficit. We are looking at trillion dollar deficits in both 2008 and 2009"

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