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Sunday, October 6, 2013

A Budgetary Aside.




Everyone throws around $1.5 Trillion dollars as the size of the Federal Budget for 2013.
It occurred to me, that Inflation is never taken into account.
My Proverbial Bag of Cat Food, that cost $5 in 1995, now costs closer to $20.
I would assume that the same holds true for the Federal Government...that it simply takes more Dollars if diminishing Value, to run the Government.
Here's the Inflation Calculator
http://www.usinflationcalculator.com/
Here's the cut and paste, for the current Budget, in 1984 Dollars:


Inflation Calculator



If in2013




I purchased an item for $1,500,000,000,000.00



then in1984




that same item would cost:$666,375,915,545.35



Cumulative rate of inflation:-55.6%

        


This is very interesting....The Current Budget , in 1984 Dollars is $666 Billion.
In 1984...also in 1984 Dollars....Reagan's Budget was:

$851,805,000,000


It costs more to run a country...not because of President Obama's profligacy...but because the Dollar is worth less.


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