If we add in the Citi bailout, the total cost now exceeds $4.6165 trillion dollars. People have a hard time conceptualizing very large numbers, so let’s give this some context. The current Credit Crisis bailout is now the largest outlay In American history.
Jim Bianco of Bianco Research crunched the inflation adjusted numbers. The bailout has cost more than all of these big budget government expenditures – combined:
• Marshall Plan: Cost: $12.7 billion, Inflation Adjusted Cost: $115.3 billion
• Louisiana Purchase: Cost: $15 million, Inflation Adjusted Cost: $217 billion
• Race to the Moon: Cost: $36.4 billion, Inflation Adjusted Cost: $237 billion
• S&L Crisis: Cost: $153 billion, Inflation Adjusted Cost: $256 billion
• Korean War: Cost: $54 billion, Inflation Adjusted Cost: $454 billion
• The New Deal: Cost: $32 billion (Est), Inflation Adjusted Cost: $500 billion (Est)
• Invasion of Iraq: Cost: $551b, Inflation Adjusted Cost: $597 billion
• Vietnam War: Cost: $111 billion, Inflation Adjusted Cost: $698 billion
• NASA: Cost: $416.7 billion, Inflation Adjusted Cost: $851.2 billion
TOTAL: $3.92 trillion
So imagine for a moment that this country is purchasing 828,800 square miles of prime real estate, while simultaneously rebuilding a war ravaged Europe, while simultaneously enacting a mammoth domestic public works program, while simultaneously rescuing 750 odd S&Ls from bankruptcy, while simultaneously building a rocket that will get us to the moon and back (and building the Space Shuttle to boot), while simultaneously fighting wars in Korea, Vietnam, and Iraq. Oh, and we’re doing it all under the leadership of George W. Bush.
In happier news, it looks like the Chinese government will be helping us out on the bailout. (See also the controversy about Obama’s speaking style).
By the way, the estimated costs of the bailout is a serious estimate (no joking), although historical comparisons always have problems (read the comments on the man’s blog for some of them).