The Unbelievable Cost Of The Economic Bailout

Posted by – December 15, 2008

Do you know what the secret cost of the bailout is costing US tax payers? Not to mention the overseas prospectors around the world who are being hit by the global economic crisis? I would go so far as to call myself well informed to financial news. For many years now I have been earning a livelihood as a writer on offshore banking matters. It’s nothing new to me that the U.S. Dollar is plumiting. But I just did some calculations today that really made my jaw drop!

A startling Economic Report

The following, and startling, facts are all based on a new report out from the National Bureau of Economic Research:

Simply put, the 2008 Economic bailout has cost the U.S. so far $8.5 trillion. Of course, this isn’t exactly news to many people. These figures go far beyond most people’s comprehension… which is how the US government got away with this whole foul play in the first place. To completely comprehend these amounts, though, let me try to put them in context by comparing them side by side to other expensive wars and government initiatives since the American Revolution. This is where I couldn’t believe my eyes.

If we add it all up in inflation adjusted dollars, the total price of all of the following major US government capital outlays since the American Revolution, they come to $8.1 trillion. You read that right, the total spending for the list below is less than the total cost of this year’s economy bailout.

Here are the wars and initiatives we are talking about, shown in order of price the most expensive on top and the least expensive on bottom:

  1. The Second World War
  2. The complete budget of NASA
  3. The Vietnam War
  4. The Iraq War
  5. The New Deal
  6. The Korean War
  7. The First World War
  8. The Savings and Loan Crisis
  9. Afghanistan/GWT
  10. The Marshall Plan
  11. The Gulf War
  12. The US Civil War
  13. The American Revolution
  14. The War of 1812
  15. The Louisiana Purchase

Yes that’s right, you add up together the final cost of everything on the above list and the total is still less than the total dollars the government has just spent on this year’s bailout! Read this report for yourself to get more info on the real cost of the bailout.

Investing your Wealth Offshore: Things to consider

How does that make you feel? Shocking I know! I knew that economic conditions were dire, but doesn’t that just put it all in context in a more coherent, if disturbing way? (On a side note, it was also informative to see the price of the war in Iraq compared to other conflicts – way above the Gulf War but still under the price of Vietnam).

There are difficult times ahead, but if you seek out a reliable guide, there are great opportunities to profit from the crisis and you can learn wealth creation better than ever before!

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