My New Economic Plan Pt 3: Get small before you get low

So many reasons. So little time.

If we get small (or reduce our footprint or lifestyle or level of consumption) before we get low (or kick the proverbial galvanized metal bucket) then those alive today will have a better chance of enjoying some of what the world offers without so much strain (or mental, emotional, financial, physical stress).

(I’ve been told galvanized metal is the way to go, as far as rain gutters, bicycle fenders and buckets are concerned, eh).

Oh, and future generations would find their lives a bit easier too. Let’s not forget them while we’re trying to make our way in this world.

(Please read My New Economic Plan Pt 1 for some context).

If concerns about a double scoop recession in the US, Canada’s dependence upon the US economy, a slow down in the economies of the G7 nations (including Canada and the US) and the price paid for John Lennon’s toilet seat aren’t motivation enough to get small, then a wee peak at American budget deficits and US national debt might get you there.

(Please read My New Economic Plan Pt 2 for even more context).


["Debt is growing. Will it soon surpass GDP? It has in other countries"]

For example, US debt as a percent of gross domestic product (GDP) was very high in the 1940s, but declined - likely due to many productive years and somewhat controlled spending and taxation practices - until the Reagan-Bush era.

Reagan- and Bush-onomics and other factors (higher military spending?) led to growing annual budget deficits (money going out exceeded money coming in yearly) and the overall national debt rose steeply compared to the value of domestic production.


["Bill got close to having one balanced budget"]

Pres. Bill Clinton worked hard to lower annual budget deficits from 1993 - 2000 (and reduce US debt as a percent of GDP) but the training wheels again came off under Bush 2. And Obama’s attempts to stimulate the American economy (among other things) has led to another sharp spike in debt compared to GDP.

According to one graph - found at zfacts.com - as of Aug. 15, 2010, US debt stood at almost 91% of GDP. Total debt is almost as high as domestic production. It’s unsustainable, for certain.

Total debt - now at $13.5 trillion - is going through the roof, so to speak. According to the red bar graph, national debt has doubled in the last seven years, i.e. from 2003 to 2010.


["Growing debt should concern us all"]

Should we be concerned about the debt’s rapid growth?

Should we be concerned that, according to the red bar graph, there has only been one year since 1940 that the debt actually went down?

Enough to get small before we get low?

Please click here to read My New Economic Plan Pt 4.

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Good things happened in 1947. The US paid down part of its debt.

However, since 1948 it has only gone skyward.

Has 62 years of over-spending affected our view of how the world should work?

E.g., are our material expectations realistic?

I was born in 1949 (baby, I was there, eh!), so I have a few opinions.

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