Let’s suppose you make $70,000 per year. Next year, you expect to make $75,000.
There is bad news, however. Your boss just told you that, because of the economy, you will make just $73,150 next year. Your increase will only be $3,150 rather than $5,000. That is the proportional effect of the sequester on federal spending.
If you are anything like Obama, you will immediately go home and tell your family about the disaster imposed upon you and its terrifying effects. You will have to sell your wife’s car, the kids will have to cut back to two meals a day, nobody will be going to college, the dog will have to go to the animal shelter to be put down and the thermostat will need to be set at 60 degrees all winter.
Of course you will still keep the lawn service, you will still keep drinking single malt scotch, you will keep smoking, you will not cancel your annual golf outing to Scotland and you will keep restoring that Chris-Craft boat in the garage.
Obviously, (almost) everyone is going have to tighten their belts based on the horrible injustice imposed upon you by that bastard you work for.
That’s how it works.