PRIVATIZE, PRIVATIZE, PRIVATIZE:

Where Your Money Is Going (Selena Maranjian, May 4, 2004, Motley Fool)

[T]ax revenues per household will total $16,981, including income tax, payroll tax, and taxes on gas, estates, and other things. Meanwhile, the government is expected to spend $21,671 per household in 2004, which is $3,500 more than in 2001, nearly a 20% increase. The astute observer will notice a gap of $4,690 per household -- that's our deficit per household (and no small amount, is it?), which our children will likely get to worry about.

Here's where the $21,671 will be spent:

* Social Security and Medicare: $7,165.

* Defense: $4,240. Cowen notes that, "Lawmakers drastically cut defense spending throughout the 1990s. The September 11 attacks reversed this trend, and the $1,300 per household increase since 2001 has returned defense spending to its historical levels."

* Low-income programs: $3,479. "Nearly half of this spending subsidizes state Medicaid programs that provide health services to poor families. In line with economywide health-care trends, Medicaid costs are rising 10 percent per year."

* Interest on the federal debt: $1,460. "Washington is $7 trillion in debt. It owes $4 trillion to the public that owns its bonds and the rest to other federal agencies. Record-low interest rates have reduced the interest payments by $1,000 per household over the last six years. As interest rates climb back to normal levels, so will these costs to taxpayers."

* Federal employee retirement benefits: $835.

* Health research and regulation: $619.

* Education: $583. (This is the federal government's portion of education spending -- it's only about 8% of overall public spending on education -- the rest comes from state and local governments.)

* Veterans benefits: $565.

* Unemployment benefits: $451.

* Highways and mass transit: $400.

* Justice administration: $389. This includes federal lawyer costs, as well as prisons and homeland security initiatives.

* International affairs: $320.

* The remaining $1,165 is allocated to all other federal programs, such as farm subsidies, environmental programs, space exploration, air transportation, and community development.