Thoughts, essays, and writings on Liberty. Written by the heirs of Patrick Henry.

“The yeomanry of the country possess the lands, the weight of property, possess arms, and are too strong a body of men to be openly offended - and, therefore, it is urged, they will take care of themselves, that men who shall govern will not dare pay any disrespect to their opinions.”     Richard Henry Lee

July 11, 2007

Cost Of Government Day 2007

by Doug Mataconis

According to Americans For Tax Reform, today is the day that the average Americans stops working to pay for the state, and starts working for themselves:

Cost of Government Day (COGD) is the date of the calendar year on which the average American worker has earned enough gross income to pay off his or her share of spending and regulatory burdens imposed by government on the federal, state and local levels.

Cost of Government Day for 2007 is July 11th.  With July 11th as the COGD, working people must toil on average 192 days out of the year just to meet all the costs imposed by government.  In other words, the cost of government consumes 52.6 percent of national income.

And it’s gotten worse over the past several years:

Cost of Government Day falls two days later in 2007 than last year’s revised date of July 9th. In 2007, the average American will need to work an additional 11 days out of the year to pay off his or her cost of government compared to 2000. Slower economic growth, a recession, the war, Hurricane Katrina, increased spending and corporate scandals were responsible for the dramatic increase from June 29th in 2000 to as high as July 12th in 2005.

Consistent with historical changes in the index, as the economy expanded, the cost of government declined due to lower levels of spending and higher incomes of workers.  However, the drop in the cost of government was short lived and the index increased by two days in 2007.  The increase in the index is tempered by slowing national income growth despite significant spending growth.

The idea that Americans should have to work more than half the year to pay for the state should be offensive to anyone. Instead we all just seem to blindly accept it.

H/T: Rick Sincere

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  1. [...] you’re new here, you may want to subscribe to my RSS feed. Doug Mataconis points us to the report by Americans for Tax Reform that declares today the day of economic liberty [...]

    Pingback by Happy Cost of Government Day! : Hear ItFrom.Us — July 11, 2007 @ 11:05 am
  2. I am not celebrating.. Cost of Government day for us in CT is Aug 2..

    Comment by J Aron — July 11, 2007 @ 2:21 pm

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