A pie Chart Showing Who Should Pay What

A few days ago, I followed up on a friend’s speculation on how to pay off the absolutely gynormous national debt, which is about $13.7 TRILLION dollars (or $ 1.37 x 10^ 13, if you prefer scientific notation). Currently this is owed to various mutual funds here in the US and, more and more, to overseas banks, particularly those in China. The annual interest on the national debt is one of the largest items in the national budget.

If that amount was divided equally among all 310 million of us, most of us would be bankrupt, since each one of us would have to pay about $44,000 – forty-four thousand dollars.

However, not all of us. For the the billionaires, the hundred-millionaires, and so on, that’s merely a weekend excursion at some fancy beach or ski resort.

Here is a little pie chart showing one way of dividing up the national debt according to the principle that those with the most should pay the most.

Published in: on November 29, 2010 at 3:24 am  Comments (1)  
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A little math to PAY OFF the entire national debt in ONE YEAR

We US citizens have an enormous problem: our unbelievably huge, thirteen-TRILLION dollar national debt, which is causing our entire government to be in hock to the Chinese banking establishment.

A friend suggested an easy solution. It’s called taxing the richest of us the most, and it involves a little math. So bear with me:

A google search told me that the population of US today (11-24-3010) is about

310,776,000 (a bit over three hundred ten million people) and that the total  National Debt today is about

$13,766,000,000,000 (nearly fourteen TRILLION dollars)

According to Forbes, each of the top 400 richest people in the US has wealth in excess of

$1,000,000,000   (One BILLION dollars)

(Some have many tens of billions, approaching a hundred billion!!! Each!!)

These 400 people can easily afford to be taxed

$200,000,000  (two hundred million dollars – roughly the price of one of their mansions)

Which would raise the following amount:

$80,000,000,000 (Eighty billion dollars)

Which leaves the following for the rest of us:

$13,686,000,000,000  (not a big change yet, apparently, but bear with me)

The next top 1/10 of 1% of the US is also unbelievably wealthy.

They consist of this many individuals:

310,776          (about three hundred ten thousand people)

To help retire the US national debt, they could each easily each be taxed (and not miss), say

$20,000,000    (twenty million dollars)

That would raise

$6,215,520,000,000   (a bit over six TRILLION dollars)

Leaving the following to be paid by the remaining 99.9% of the population:

$7,470,480,000,000   (About seven and a half trillion dollars)

Now let’s consider the next 1/2 of 1% of the population, or about

1,553,880 people. They are also unbelievably wealthy by the standards of ANY

civilization that has ever existed. They could well afford a per capita tax of

$2,000,000      (two million dollars)

That would raise about

$3,107,760,000,000          (a bit over three TRILLION dollars)

Leaving the following to be paid by the remaining 99.4% of the population:

$4,362,720,000,000   (About four and a third trillion dollars)

Now the next 1% of the population is also extremely wealthy. That is

this many people:

3,107,760       (About three million people)

they could each easily each be taxed (and not miss), say

$700,000         (Seven hundred thousand dollars)

BTW: that’s much less than the value of just ONE of their many houses.

Or yachts.

That tax would raise

$2,175,432,000,000   (A bit over two trillion dollars)

Leaving, for the remaining 98.4% of the population, a national debt of

$2,187,288,000,000   (Another two trillion dollars)

Now the next 2% of the population, namely this many people:

6,215,520       (a bit over six million people)

could certainly afford a per capita tax of

$100,000         (one hundred thousand dollars)

That will raise

$621,552,000,000      (About six hundred BILLION dollars)

Leaving the following to be raised by 96.4% of the population:

$1,565,736,000,000   (About one and a half trillion dollars)

The next top 10% of the population works out to

31,077,600     (Thirty one million people)

They can easily afford a per capita tax of

$20,000           (Twenty thousand dollars)

That will raise

$621,552,000,000      (Again, about six hundred billion dollars)

Which leaves the following for the rest of us

$944,184,000,000      (Less than one trillion dollars)

By the way, we still haven’t assessed a full  86.4% of the population, or this many folks:

268,510,464   (About two hundred seventy MILLION people)

Who so far haven’t paid a penny. It’s our turn now.

The bottom half of them, the taxi drivers, office cleaners, waitresses, janitors, unemployed, and so on

are really not well off at all. Let’s see if we can leave them untaxed by just

taxing the upper half of this remaining mass of people. This half is 43.2% of the population, or :

134,255,232 people

If we split up the total remaining national debt among us (I’m in this group)

we get a per-capita obligation of

$7,033

I don’t know about you, but I can afford that.

And over 40% of the population, the poor, don’t have to pay a cent.

And the entire national debt is PAID OFF!

IN ONE YEAR! (And this process would not have to be repeated again.)

Published in: on November 24, 2010 at 5:58 pm  Comments (14)  
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