Today, August 12th (224 days into 2009), America has reached Cost of Government Day. According to a report released today, Cost of Government Day, 2009 Report, by the Center for Fiscal Accountability and the Americans for Tax Reform, the average American worker has now earned enough gross income to pay off his or her share of the spending and regulatory burdens imposed by government on the federal, state and local levels for 2009.
The Cost of Government Day falls 26 days, nearly a month, later this year than last year’s date of July 16th. Roughly two-thirds of the past 224 days has been spent paying for Federal spending and regulations, while a third of the time has been spend paying for state and local spending and regulations.
The main reason why the the Cost of Government Day came so late this year is due to (1) falling incomes due to the recession and (2) increased government spending programs: The Emergency Economic Stabilization Act which created the Troubled Asset Relief Program (TARP) and the American Recovery and Reinvestment Actor of 2009.
The report has many interesting findings and is worth a read.