Skip to comments.CBO: Obama understates deficits by $2.3 trillion (Imagine that!!)
Posted on 03/18/2011 1:07:03 PM PDT by milwguy
A new assessment of President Barack Obama's budget released Friday says the White House underestimates future budget deficits by more than $2 trillion over the upcoming decade.
The estimate from the nonpartisan Congressional Budget Office says that if Obama's February budget submission is enacted into law it would produce deficits totaling $9.5 trillion over 10 years an average of almost $1 trillion a year.
Obama's budget saw deficits totaling $7.2 trillion over the same period.
The difference is chiefly because CBO has a less optimistic estimate of how much the government will collect in tax revenues, partly because the administration has rosier economic projections.
But the agency also rejects the administration's claims of more than $300 billion of that savings to pay for preventing a cut in Medicare payments to doctors because it doesn't specifying where it would come from. Likewise, CBO fails to credit the White House with an additional $328 billion that would come from unspecified "bipartisan financing" to pay for transportation infrastructure projects such as high speed rail lines and road and bridge construction.
Friday's report actually predicts the deficit for the current budget year, which ends Sept. 30, won't be as bad as the $1.6 trillion predicted by the administration. But 10 years from now, CBO sees a $1.2 trillion deficit that's almost $400 billion above White House projections.
The White House's goal is to reach a point where the budget is balanced except for interest payments on the $14 trillion national debt. Such "primary balance" occurs when the deficit is about 3 percent of the size of the economy, and economists say deficits of that magnitude are generally sustainable.
(Excerpt) Read more at news.yahoo.com ...
"White House budget director Jacob Lew said in a blog post that "CBO confirms what we already know: current deficits are unacceptably high and if we stay on our current course and do nothing, the fiscal situation will hurt our recovery and hamstring future growth."
Why did the AP print this?
Not a big deal... isn’t a $trillion the new billion? If he gets the quad-trillion estimates in the right ballpark, aren’t we then okay?
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We can -- and will -- lie to you cracker-dhimmis at will. It is our religion.
Hell is freezing over.
This is a good indication that the left is preparing to dump Barry. When even AP is pointing out the guy is a major fool, you know something else is in the works for the left.
Yep - and in a few days, the CBO will release another report that says that Saint Barry Hussein’s newest bright idea will cut the deficit by three trillion....
The CBO sways back and forth with the slightest political breeze.....
He is the Magic Man with no past, present, or future. He is what we are told to think for the moment.
The bottom line is that he cannot fail, and anything he does not deliver on is someone elses fault.
Hillary already said she won't be back as SOS, so, maybe she'll leave early and take on Barry in the primary.
A true Balanced Budget Amendment is so desperately needed to the US Constitution. At the current levels of taxation, were the government waste and unconstitutional spending cut - the debt could be paid off in a “reasonable” time frame.
But the problem is - the Federal Government does what so many irresponsible consumers do - they max out their credit cards, then take out loans/2nd mortgages to pay off those credit cards. While making those loan payments, they then re-max out their credit cards... The difference being - consumers finally get to a point that no-one will give them another dime of credit. The government just keeps on printing money (via the Fed), and issuing more bonds that are mortgaging our grand children and beyond.
What is really frustrating - time and time again, when taxes are cut, government income goes UP. Why? Less taxes paid means more money spent in the economy, which means more people working, which means more taxes paid. Also - when someone who owns a business pays less tax - they are far more likely to add workers (especially if his or her business improves because more people have money not being stolen...errr...excised by the government.
But libs (on BOTH sides of the isle) don’t care. All they see is - give us more of your money... but even if you don’t have any more to give, we will spend it anyway... just hand me some more blank checks.
Why is it just the Republicans' responsibility to be adults?
This. Thus, when you add up the entire debt added by Obama it will exceed the debt created by evey single other President.....combined! We are sooooooo gone.
This SOB knows he’s a one-term president and most likely will not even be on the ballot, so he is determined to make America pay!
Simply astounding...and the LameStream media reports this crapola and doesn’t seem to care that the Obozo Admin is full of it...
“White House budget director Jacob Lew said in a blog post that “CBO confirms what we already know”
Yes, namely that the budget picture is WAY worse than the official Obama budget numbers indicate and that we can’t rely on OMB to give us honest numbers.
The most charitable interpretation one could give to Lew’s comments is the following: “We already knew that the deficit would be $2.3T higher than we announced, but our boss didn’t want to let us make that information public.”
Forget “lies, damned lies and statistics.” This administration is working from the “pathetic lies, egregious lies, and unconscionable lies” playbook.
Yeh whats a few trillion anyway? Chump change. We are the chumps.
This should be grounds for, if not impeachment proceedings, criminal action against the dolts that tried to perpetrate this fraud on the American public.
2 Frigg’in Trillion? Willful destruction of the USofA!
The question is, will the "payout" destroy the Country before his one term is up?
With the dollar on a knife edge, Japan needing cash to rebuild by selling its hoard of US Treasuries, and China in the CatBird seat..., not to mention Europe, our usual biggest trading partner going broke, how long do you think this crippled US Economy can keep crawling, before someone delivers a fatal kick to the kidneys?