So, How Do You Think This Movie Will End?
These two charts tell you pretty much all you need to know about the state of the US economy. They also, unfortunately, provide some clues as to how this movie will end.
First, from John Mauldin, the state of the U.S. government's finances. The red line is spending. The blue line is tax revenue.
Can you imagine if that was your household?
Second, from Ned Davis, the state of our country's debts, as measured by debt as a percentage of GDP. The little peak to the left was the debt mountain we accumulated during the Great Depression, which took a decade to work off. The, um, bigger peak to the right, is the one we've accumulated now.
