Current Tax Policies Help Spur Consumption —
USA’s Taxes on Consumption of Goods & Services Lowest Among Peers
Taxes on Consumption of Goods & Services as % of GDP Among OECD
Countries, 2007 BOT qemgqns oo oo ens cee ee em en ae TE ET ED DE S i=] N o Se ; = ° = BUI Jem oem me mr mer = cee er mi eee re me en em mo Se Se Se Se = em SBE < 2 a] fos E 8% |-|-----@- SRO RRR Be eh eee eee eee eee eee 7) < ° oO 5 4 SEE aaa ” a * (] - (J Pas = Ml 1 ese 1 Ce el ee rae Se Tl T eee eet ol) ee Me eee 0% oS SSB OfFLDKY >A HOY EDOTATYH DAH BATS te P¥X TB —- wv = = oD = = vw Oo = Fee Sess sr 7 & &s sage saezas S Sue PSS SS8LlSHS ESGRP BZBeoFaZsts5SeceegoetPEsu oa 2X 2% 4 £ ES o@ 22fitgea 6 o£ 8 ce $ N° Z E 8 <a o-oo Qar fzigrgosGge 2 < o (o) 4 s a“ ara E x a c o 2 x 77) 3 Oo o 22s = Ww o => ro) a ie) ” KP Source: OECD, 2009 database. i USA Inc. | What Might a Turnaround Expert Consider? 407
America’s Resources Allocated to Housing + Healthcare Nearly Doubled as a Percent of GDP Since 1965, While Household and Government Savings Fell Dramatically
Healthcare + Housing Spending vs. Net Household + Government Savings as % of GDP, 1965-2009
EG. mo ns a = em ae as = a SO an RR = Sak a = a Dw a a ——Housing + Healthcare Spending as % of GDP 20% Re rere Sie = ee Ee eee ee — ee dM @ eo oe = a —o— Net Household + Government Savings as % of GDP VBYo ce . 611% R10, ee a a ee gm 8S Ss = m8 a a -_ ° = yg we a oe ag Rg we ce on 9 ot oar me mec me << 0% . T T T T T T T T T T T T T T T T T T T T 1 1965 1970 1975 1980 1985 1990 1995 2000 2005 Bf: wt tees ce ate ee Me es Ce MRE FORE 9 Te ES eS RS Un es eH = ne ei Hae Nee tele -9% MAUI mee me se 9m ma mm = i ea SE SE A BT TE BD TE HT a TE - S Note: Housing includes purchase, rent and home improvement. Government savings occur when government runs a surplus. KP Source: BEA, CMS via Haver Analytics. (@E) www.kpcb.com USA Inc. | What Might a Turnaround Expert Consider? 408
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