Government Spending per Household Shows Rising Share of Median Income (1967‑2010)

Total Government (Federal + State + Local, including Military) Spending Has Risen to 82% of Median Household Income”*, Up from 51% in 1967 Real USA Government Spending per Household and as Percent of Post-Tax Median Annual Household Income, 1967 — 2010 $50,000 ----------- === += 22222 ee eee eee eee 100% $40,000 $30,000 60% $20,000 $i a it TELE LLL ao, of Median Household Income (%) $10,000 | at it SEE EELELLD oxo, Total Government Spending per Household ($) Government Spending per Household as % $0 0% 1967 1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 mam Real Government (Federal+State+Local) Spending per Household ($) —— Government Spending per Household as % of Median Household Income (%) Note: *Post tax. Real spending adjusted for inflation using BEA’s GDP price index, in 2005 dollars. Data source: Census Bureau, P Bureau of Economic Analysis. (@)E) www.kpcb.com USA Inc. | What Might a Turnaround Expert Consider? 331 Federal (Including Military) Spending Has Risen to 65% of Median Household Income”, Up from 39% in 1967, Driven by Entitlement Spending + Interest Payments Real USA Federal Spending per Household and as Percent of Post-Tax Median Household Income, 1967 — 2010 $40,000 ---------------- 2-222 222 e eee nee ee ee ee eee ee eee een eee eee 70% 60% $30,000 -------------- ++ - 22 nee neen mg - 50% 40% | ae : E E p l | i | Tait I 30% 209 $10,000 - Hild ! : 4 | | i { ll I WEEE l i) 10% $0 T T T T T T T T T 0% 1967 1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 man Entitlement / Interest Payments / One-Time Real Federal Spending per Household mam Real Federal Spending per Household (ex. Entitlement / Interest Payments / One-Time Items) —— Federal Spending per Household as % of Median Household Income (%) Federal Spending per Household ($) Federal Spending per Household as % of Median Household Income (%) Note: *Post tax. Real spending adjusted for inflation, in 2005 dollars. Data source: White House Office of Management and KP Budget, Census Bureau, Bureau of Economic Analysis. (@E) www.kpcb.com USA Inc. | What Might a Turnaround Expert Consider? 332 HOUSE_OVERSIGHT_021007