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 DOGG pegs 2 or wr ccs ee cos ree an a mo SER EGR ORG mE SR REE EES aE es ms a oO i] N a UCM oe eee ooo fF 1) x Ps < 2 ro E 8% |-1-----@ Peete bit Litiiiiiiitd ” ¢ 9 oO | ” 7 x i] - 0% tic oS SG OCOLC DY >ROYUE SP RLUYITUY > R<SaDeBapr d SiBSEES ERS SER SS SSE SSESRREZESSZES 35 G5sa 4X 2% 4 EELS afer garPGzgcsesesg se 8 BS Z Ee g' <a g-8NB zba* g2g- = 5 a = @ 2 x i Ss g § 223 fo) N 2 o 7) 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 ——Housing + Healthcare Spending as % of GDP 20% ae — —o—Net Household+GovernmentSavingsas% ofGDP 0 . (11% 10% me nnn nn nn nn nn nee Ke) Omg) QD pmo 8% or Sond ee wn ‘0 UE eee mos x os at eS i - deal eS © REED zt T% O q 2 Om oo 0% eo bag 1965 1970 1975 1980 1985 1990 1995 2000 2005 "1 -9%b MAD, mo wo an cme me ca an ms an SA ER EE ORT RR ERE EA RR mE NS RT RR SS GE mE En Se EE Note: Housing includes purchase, rent and home improvement. Government savings occur when government runs a surplus. KP Source: BEA, CMS via Haver Analytics. Ce USA Inc. | What Might a Turnaround Expert Consider? 408 HOUSE_OVERSIGHT_021045