Isn’t it ironic that we celebrate Independence Day on July 4 to recognize our rejection of oppressive British regulation, mercantilism and taxation, and yet the typical American now works until the middle of July to pay for Big Government? In other words, we celebrate our declaration of independence from the British government in early July before we are even free from the burden of our current government!
Mark Perry at Univ. of Michigan links to this study
According to Americans for Tax Reform, the Cost of Government Day for 2008 is July 16. Working people must toil on average 197 days out of the year just to meet all costs imposed by government. In other words, the cost of government consumes 53.9% of national income.
The Cost of Government Day falls four days later in 2008 than last year’s revised date of July 12. In 2008, the average American will have to work an additional 17 days out of the year to pay off his or her cost of government compared to 2000, when the COGD was June 29.
In fact, since 1977, COGD has fallen later than July 16 in only four of those 32 years - in 1982 and 1983, and in 1992 and 1993 (see chart above). The driving factor for this development is the fact that all components of the cost of government – federal spending, state and local spending, and regulation – are now increasing faster than national income.
Contributing even more to rapidly rising government burdens right now is soaring state and local government spending. The average American worker must labor 50.5 days this year, approaching two months, just to pay for state and local government spending. That compares to 48.9 days just last year, and 44.3 days in 2003. That means in the last five years alone, state and local spending has grown by almost 12% relative to national income (see chart below).
0 Responses to “Citizens More Taxed Now Than Under King George”