Skip to comments.CBO: Obama’s budget doesn’t reach primary balance
Posted on 03/20/2011 3:46:45 AM PDT by Scanian
Congress chief scorekeeper says President Obamas budget never achieves primary balance, the key measure the White House said would show the country is living within its means.
In a preliminary analysis the budget Mr. Obama sent to Capitol Hill last month, the Congressional Budget Office says deficits will total $9.5 trillion over the next decade and never once will it be in balance even when subtracting interest costs.
The closest the government will come to balance is in 2018, when the deficit will be $902 billion and net interest costs are projected to be $725 billion still leaving a substantial deficit of $177 billion.
That contradicts a talking point for Mr. Obama and his administration, where officials have said their budget would have the government live within our means, meaning it was taking in enough revenue each year to pay for its operations, minus the interest costs on the debt.
Congress is required to use CBOs estimates when writing bills and producing a budget, so the new estimates could prove devastating to the presidents hopes of enacting his plans.
White House budget director Jacob Jack Lew, in a blog post at WhiteHouse.gov, said the chief differences between their estimates and CBOs are that CBO discounted some of the White Houses unspecified tax increases and also took a grimmer view of future economic growth.
There is large uncertainty in economic projections and differences of opinion when it comes to assessing individual policies. But regardless of our differences, 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, Mr. Lew said.
(Excerpt) Read more at washingtontimes.com ...
What nonsense. I’d like to try defining living within my means as excluding interest costs.
Wouldn't we all?
Obama's budget doesn't reach primary balance. That's alright... Obama doesn't reach primary balance either.
Smoke and mirrors! No cuts whatsoever, just assume that revenues are going up!
This genius Secretary of Energy we have named Steven Chu, says the budget is part of Obama's plan to win the future.
Dick Durbin [D-IL] says Obama's budget will help create jobs and put us on a path towards reducing our debt.
The list, ping
Let me know if you would like to be on or off the ping list
When Higgenbottom (?) kept relating our debt to a percentage of the GDP I knew we were headed toward greater trouble.
Tick, tick, tick...
Top left corner at link, you can find the Debt Clock for your individual state, too. I’m currently in the hole to the tune of $7,702.00. How about YOU?