According to the U.S. Treasury, 79% of the decline in its deficit, which is still out-of-control despite the drop, is accounted for by higher tax revenues.
The other 21% of the decline came from cuts to defence and other spending and was offset by higher spending on entitlement programs for the poor and/or retired.
In other words America's welfare state is growing and becoming a less and less competitive a place to do business.
American businesses will certainly notice that their tax bills have increased, and be looking for ways to reduce them. The leftist politicians pandering to the mob are certain to keep taxing business and success, and especially big business, to subsidize failure. It is the way of the Roman Emperors, and the Imperial American way.
hans: How do account that American businesses and the richest individuals had record profits this past year. Bills need o be paid out of income (taxes) or borrow to pay the bills. It is impossible to cut enough gov. spending to have a balanced budget and that's a fact.
Don't fordet the real lowering is coming from the forced cuts of the sequestor. Otherwise the Democrats would be blowing all that new tax money. The good news is there are more sequestor cuts in the near future.
"Don't fordet the real lowering is coming from the forced cuts of the sequestor."
A wingnut wrong again...imagine that. Spending this year will be higher than it was last year. The real reason the deficit is coming down is because revenues are so much higher because we have fixed so much of the damage caused by the Bush recession.
Obama chickens out, skips Gettysburg ceremony - commentary
President Barack Obama has bowed out of attending the 150th anniversary of Lincoln's Gettysburg Address. (AP Photo/Pablo Martinez Monsivais)
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on October 31, 2013 at 8:00 AM, updated October 31, 2013 at 8:03 AM
Ring any bells?
Didn't think so.
They're both nobodies - well, actually, they're both Secretaries of the Interior.
The difference is when Usher travelled to Gettysburg, he went with his President.
When Jewell goes this November, she'll be the headliner - her President is taking a pass.
Obama will be a no-show at the 150th anniversary of Lincoln's Gettysburg Address.
For a president who has so demonstrably associated himself with Lincoln - the heir of Lincoln's policies who announced his candidacy from the steps of the Old State Capitol in Springfield and used the Lincoln Bible (twice) at his inauguration - this is nothing less than a profile in cowardice.
In the end, Barack Obama simply didn't have the stones.
History will note that Lincoln's legacy did not live up to the challenge.