Nobel Prize winning economists like Paul Krugman and fellow Keynesian devotees like Ben Bernanke profess that the only way out this current financial crisis is to SPEND MORE. However, looking at the massive increases in government spending since the 2007 collapse shows these economic initiatives are woefully ineffective. CNS News reports how over the past 5 years, the nation’s total debt has increased by more than $1 trillion each year:
By the end of the third quarter of fiscal 2012, the new debt accumulated in this fiscal year by the federal government had already exceeded $1 trillion, making this fiscal year the fifth straight in which the federal government has increased its debt by more than a trillion dollars, according to official debt numbers published by the U.S. Treasury.
Prior to fiscal 2008, the federal government had never increased its debt by as much as $1 trillion in a single fiscal year. From fiscal 2008 onward, however, the federal government has increased its debt by at least $1 trillion each and every fiscal year.
In the fourth quarter of fiscal 2012, the federal debt has continued to accumulate, hitting $15,874,365,457,260.40 at the close of business on Thursday, July 19—marking a total increase so far in fiscal 2012 of $1,084,025,128,703.25.
In fiscal 2007, according to the U.S. Treasury, the federal government’s debt increased $500,679,473,047.25. But that marked the last fiscal year in which the federal government’s debt did not increase by at least $1 trillion.
At the close of business on Sept. 30, 2007–which marked the beginning of fiscal 2008–the total debt of the federal government stood at $9,007,653,372,262.48. At the close of business on July 19, it stood at $15,874,365,457,260.40–an increase of $6,866,712,084,997.92 in less than five years.