May's Tab + Tip

May's Bill



-GM shareholders got punished this month. GM shares closed at ~$1.80 a share on May 1st and they closed on Friday the 29th at $0.75 per share. That is a decline of ~$1.05 per share or ~58%. GM has just about 610 million shares outstanding so GM's total market value (Market Cap) on 5/1/09 was $1.099 billion and on Friday the 29th it was down to just under $460 million that is a an astonising loss of ~$640 million in just one month!



-First quarter GDP was revised to a drop of 5.7% from the original estimate of 6.1% (these are annualized). That revision adds about $.052 trillion (or $52 billion) to our annual economic output. Not much consolation to the GM shareholders though.



-The national debt has been increase at an average of $3.79 billion a day since 2007 so at that rate we added ~$118 billion to the debt this month alone. Just to put that in perspective there are ~306 million Americans so we added roughly $386 a person in debt in one month. Think about that for a second if: you borrow at that rate your whole working life, from 18 to 65, so 47 years say conservatively 300 days a year you would owe -- $5,428,500. That is what the government is borrowing on your behalf. We ended this month with a national debt record, anyone want to celebrate?



So to sum up:



- GM shareholders lost ~$640,000,000.00 (in one month)

-The total Economy gained ~$52,000,000,000.00 (per year) or ($4.33 billion a month)

- The government added just over $118,000,000,000.00 to the debt this month

So that comes to (-640,000,000-118,000,000,000+4,333,000,000)=



-114,307,000,000 in other words we came up $114 billion short this month!



Oh, well better luck next time.