The federal government’s expenses this year will be paid with revenues that are 60 percent from taxes and the rest from $1.5 trillion additional debt. Assuming 300 million Americans, that’s an average of $12,500 expended, including $5,000 new debt, for each American.
Each year, assuming the same tax revenues and level of services per individual, the federal government will need $1.5 trillion plus funds for additional interest, population growth, new services, inflation, etc. Creating debt that is consumed before it is paid, i.e. entitlements, is bad financial policy.
The private sector is the source of public revenues. Creating jobs and providing long-term sustainable services are dependent on a profitable private sector and lower debt levels. Creating a job requires skilled productive employees, a financial investment by the employer, the ability to generate a return on investment, a stable investing environment, etc. Government policies should encourage profitable entrepreneurship and personal responsibility, rather than the large growth and sense of entitlement in today’s society.
Nearly 50 percent of Americans pay no federal income taxes. Thus, individuals in the other 50 percent on average pay for two people.
