5 FISCAL SECRETS BURIED IN OBAMA'S BUDGET
April 11, 2013
The Fiscal Times
JOSH BOAK and ERIC PIANIN
President Obama submitted a 244-page budget proposal on Wednesday for next year—a tome that met with instant criticism before anyone could read it.
Obama largely delivered on what he promised during his re-election campaign last year. He raises taxes on millionaires, insulates Medicare from a dramatic overhaul, and keeps the national debt at a little more than 70 percent share of the economy.
The Fiscal Times dug through the summary tables, listened to lawmakers and lobbyists vent, and found five critical—but easily overlooked—takeaways:
Obama’s Deficit Spending Means No Grand Bargain – The Obama administration does not share the GOP goal of a balanced budget—and that’s why House Budget Committee Chairman Paul Ryan said a “grand bargain” and chances for a balance budget are nil.
After ten years, the White House proposal lowers the trajectory of a deficit that would approach $1 trillion in 2023, according to the Congressional Budget Office. Instead, the government would rack up a $439 billion deficit in 2023, with the all-important debt-to-Gross Domestic Product ratio being 73 percent.
But this is a far cry from what House Republicans tried to engineer with their plan—a surplus by 2023, and a debt-to-GDP ratio of 54.8 percent.
Obama’s continued deficits take the notion of a grand bargain off the table, Wisconsin Congressman Ryan told reporters on Wednesday. This means that any negotiations will be geared toward small steps for reducing the deficit, but not elimination.
“A grand bargain implies that you can fix the problem. We’re so far from that with what the Senate has passed and the president has put out,” said Ryan, adding that Republicans “should rationalize our expectations to putting a down payment on the problem.”
Obama our Liberal Socialist President could learn from the late Margaret Thatcher. What a Great Women.
The problem with Socialism is you eventually run out of other people’s money.
Obama added $7,000,000,000,000,000 000.00 Trillion to our US debt. Just Google National Debt Clock. It is Now over $17 Trillion Dollars.
Now each American owns $70,080.00 of above debt thanks to 4 years of Obama record deficit crazy spending to date.