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Total Welfare Spending Now at $1 Trillion (Gov't. only has three choices left: Tax, Print or Borrow)
National Review ^ | 10/18/2012 | NRO Staff

Posted on 10/18/2012 6:45:13 AM PDT by SeekAndFind

Total annual spending on federal means-tested welfare programs has hit $1 trillion. The Congressional Research Service is out with a new memorandum on spending on these programs. Senator Jeff Sessions, the ranking Republican on the Senate budget committee who requested the memo, has crunched the numbers and come up with the astonishing figure of $1 trillion in annual total spending on these programs as of fiscal year 2011, nearly $750 billion in federal dollars and another roughly $250 billion in state funding. Senator Sessions explains:

Ranking Member Sessions and the minority staff of the Senate Budget Committee requested from the nonpartisan Congressional Research Service (CRS) an overview of cumulative means-tested federal welfare spending in the United States in the most recent year for which data is available (fiscal year 2011). The results are staggering. CRS identified 83 overlapping federal welfare programs that together represented the single largest budget item in 2011—more than the nation spends on Social Security, Medicare, or national defense. The total amount spent on these 80-plus federal welfare programs amounts to roughly $1.03 trillion. Importantly, these figures solely refer to means-tested welfare benefits. They exclude entitlement programs to which people contribute (e.g., Social Security and Medicare).

CRS estimates that exclusively federal spending on these federal programs equaled approximately $746 billion, and further emphasizes that there is a substantial amount of state spending—mostly required as a condition of states’ participation—on these same federal programs (primarily Medicaid and CHIP). Based on data from the Centers for Medicare and Medicaid Services and the Oxford Handbook of State and Local Government Finance, Budget Committee staff calculated at least an additional $283 billion in state contributions to those same federal programs,1 for a total annual expenditure of $1.03 trillion. By comparison, in 2011, the annual budget expenditure for Social Security was $725 billion, Medicare was $480 billion, and non-war defense was $540 billion.

The exclusively federal share of spending on these federal programs is up 32 percent since 2008, and now comprises 21 percent of federal outlays (this share too is more than Social Security, Medicare, or defense).

As a historical comparison, spending on the 10 largest of the 83 programs (which account for the bulk of federal welfare spending) has doubled as a share of the federal budget over just the last 30 years. In inflation-adjusted dollars, the amount expended on these 10 programs has increased by 378 percent over that time.

Many factors have contributed to the growth in federal welfare spending, causing it to rise during times of both high and low unemployment. Persistently weak GDP growth over the last several years is unquestionably a factor in the record amount of money now being spent. But understanding the growth in federal welfare expenditures must also be understood in the context of a federal policy that has explicitly encouraged growth in welfare enrollment—combined with a weakening of welfare standards and rules. 



TOPICS: Business/Economy; Culture/Society; Front Page News; Government; News/Current Events
KEYWORDS: 2012; debt; deficit; democrats; elections; nannystate; obama; obamatruthfile; redistribution; spending; taxes; welfare

1 posted on 10/18/2012 6:45:22 AM PDT by SeekAndFind
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To: SeekAndFind

Social programs and interest on the debt account for EVERY dollar of tax revenue taken in by the government. Everything else is borrowed.


2 posted on 10/18/2012 6:48:01 AM PDT by cincinnati65
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To: SeekAndFind

...what about “Cut”?


3 posted on 10/18/2012 6:51:12 AM PDT by OneWingedShark (Q: Why am I here? A: To do Justly, to love mercy, and to walk humbly with my God.)
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To: cincinnati65

RE: Everything else is borrowed.

Mostly from China, Japan and the Middle East.

The problem is -— Even THAT is not enough to cover the spending. So, who else to borrow the money from? ANSWER — OUR OWN FEDERAL RESERVE, who has been PRINTING MONEY for this purpose.

This madness will end badly.


4 posted on 10/18/2012 6:52:12 AM PDT by SeekAndFind
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To: SeekAndFind

No, there is only one - print. There is not enough wealth for taxing to make a dent in the deficit. Borrowing won’t work. No one in their right mind would lend that kind of money to a gov’t this profligate. The Fed will lend that kind of money but that counts the same as printing.


5 posted on 10/18/2012 6:53:35 AM PDT by Paine in the Neck (Socialism consumes everything)
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To: SeekAndFind

In a tight spot, I am not going on vacation, not replacing my car, not doing necessary home repairs/maintenance, not going out to eat or to the movies, not getting a new coat or boots, etc....

If I know how to ‘retrench’ why can’t the Government figure it out?


6 posted on 10/18/2012 6:54:51 AM PDT by SMARTY ("The man who has no inner-life is a slave to his surroundings. "Henri Frederic Amiel)
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To: SeekAndFind

You could tax 100% of the income of everyone making over 200,000 a year and we’d still be running a deficit for the year. And of course, the following year there wouldn’t be any income to tax.


7 posted on 10/18/2012 6:55:58 AM PDT by circlecity
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To: SMARTY

RE: , I am not going on vacation, not replacing my car, not doing necessary home repairs/maintenance, not going out to eat or to the movies, not getting a new coat or boots, etc....

The thing that is worrying is this — IF MOST AMERICANS ARE DOING WHAT YOU’RE DOING, how’s this going to affect the economy?


8 posted on 10/18/2012 6:58:00 AM PDT by SeekAndFind
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To: OneWingedShark

RE: ...what about “Cut”?

HA, trying doing that and see what happens to our cities. Europe has been trying that and look at the riots in Greece and the rest of the PIIGS...

Cut? Heck, we can’t even cut half a billion dollars for Public Television without people whining about Killing Big Bird.


9 posted on 10/18/2012 7:00:07 AM PDT by SeekAndFind
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To: SeekAndFind
Borrow? Willing creditors to Uncle Sam are growing few and far between.

Tax? Harvesting the total net assets of the Forbes 400 richest Americans would barely cover the Federal deficit for one year. (This is harvesting every cent they have in total assets, not some namby-pamby "tax all income over $250,000 at 100%). The next year, that source is gone. The new "400 richest" don't have nearly as much money.

Leaving only ... Print.

And that leads to...


10 posted on 10/18/2012 7:01:12 AM PDT by DuncanWaring (The Lord uses the good ones; the bad ones use the Lord.)
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To: SeekAndFind
Maybe the government should pay all sorts of welfare recipients with "welfare money" (which has a big red " W " on it and has a worth of only a proportion of "real" money. That % of real value could varied downward depending on the fiscal circumstances.
11 posted on 10/18/2012 7:03:31 AM PDT by hal ogen (First Amendment or Reeducation Camp?)
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To: SeekAndFind

If I’m doing the math right (and I’m pretty sure I am), $1 trillion per year averages out to $3000 PER CAPITA per year.

Average three thousand dollars in direct payments from Uncle Sugar for every man, woman, and child in the US.

Where the hell is it all going??!?

You’re right about one thing for sure — this MUST end badly if it is not brought under control NOW.


12 posted on 10/18/2012 7:05:22 AM PDT by Nervous Tick ("You can ignore reality, but you can't ignore the consequences of ignoring reality.")
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To: DuncanWaring

>> Willing creditors to Uncle Sam are growing few and far between.

Ben Bernanke is a highly willing lender of last resort. ;-)


13 posted on 10/18/2012 7:07:21 AM PDT by Nervous Tick ("You can ignore reality, but you can't ignore the consequences of ignoring reality.")
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To: Nervous Tick

Ben Bernanke is a highly willing lender of last resort

There’s no other game in town.


14 posted on 10/18/2012 7:16:07 AM PDT by griswold3 (Big Government does not tolerate rivals.)
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To: Nervous Tick
THE PRINTER IN CHIEF

15 posted on 10/18/2012 7:17:20 AM PDT by SeekAndFind
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To: Nervous Tick
If I’m doing the math right (and I’m pretty sure I am), $1 trillion per year averages out to $3000 PER CAPITA per year.
Average three thousand dollars in direct payments from Uncle Sugar for every man, woman, and child in the US.
Where the hell is it all going??!?

Well, let's assume that 90% of that $3,000 is absorbed in "administration costs and fees", that leaves [an average of] $300/yr for every person... that's a more believable number. (IOW, we're only being given one portion of the equation: the money-input... we're not told the money-output because then that would let us calculate the "friction coefficient" that is government.)

You’re right about one thing for sure — this MUST end badly if it is not brought under control NOW.

Like I said: cut.

16 posted on 10/18/2012 7:17:33 AM PDT by OneWingedShark (Q: Why am I here? A: To do Justly, to love mercy, and to walk humbly with my God.)
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To: Nervous Tick
"Where the hell is it all going??!?"

It's going into Obama's "Fundamental Transformation" project.

The steady rise in welfare spending, which covers more than 80 programs primarily designed to help low-income Americans, got a big boost from the 2009 stimulus and has grown, albeit somewhat more slowly, in 2010 and 2011. One reason is that more people are qualifying in the weak economy, but the federal government also has broadened eligibility so that more people qualify for programs.

http://www.washingtontimes.com/news/2012/oct/18/welfare-spending-jumps-32-percent-four-years/

17 posted on 10/18/2012 7:17:50 AM PDT by BlatherNaut
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To: Nervous Tick

Yep.

Lending money “hot off the press”. ;-)


18 posted on 10/18/2012 7:20:56 AM PDT by DuncanWaring (The Lord uses the good ones; the bad ones use the Lord.)
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To: SeekAndFind

Regardless of the time and place the government must get the money it spends somewhere. The way the government gets money is by taxing people, printing money or borrowing it from the market IF the market will lend to them.


19 posted on 10/18/2012 7:21:23 AM PDT by JLS
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To: OneWingedShark

>> Like I said: cut.

Yes, that’s the only way out.

Will we as a nation make those cuts voluntarily?

OR will we have them forced on us when we go bankrupt?

We’ll see. But deep spending cuts **WILL** happen, one way or the other.


20 posted on 10/18/2012 7:25:13 AM PDT by Nervous Tick ("You can ignore reality, but you can't ignore the consequences of ignoring reality.")
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To: SeekAndFind

Tax print or borrow? What’s new about that? What needs to happen is serious spending cuts, lower taxes thru tax reform. We need to make it more attractive to earn your own way than mooch off others.


21 posted on 10/18/2012 7:25:17 AM PDT by upsdriver
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To: SeekAndFind

there is no question we need a reliable safety net. However, welfare benefits have ballooned far above what can be considered reasonable. Much of the trillion dollar welfare cost can be taken away with a Congress with the guts.

Look at this and weep!!!
http://www.youtube.com/watch?v=luo40WjBKWI&feature=related


22 posted on 10/18/2012 7:32:55 AM PDT by elpadre (AfganistaMr Obama said the goal was to "disrupt, dismantle and defeat al-hereQaeda" and its allies.)
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To: upsdriver

Or, we can just let it be more attractive to earn your own way than starve.

And the Gods of the Copybook Headings said “If you don’t work you die”.

Might need to give some “a whiff o’ the grape”, “pour encourager les autres”.


23 posted on 10/18/2012 7:34:00 AM PDT by DuncanWaring (The Lord uses the good ones; the bad ones use the Lord.)
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To: Nervous Tick
So far every post has ignored the fact that when we as individuals get in a tight spot financially, we do something else in addition to cutting.

We sell something.

Timber, cows, crops, land, that boat or bike....

If we have no hard assets, we sell more of our time....

Get a second job, get a job that pays more or whatever.

But we sell something.

Our government does not understand that basic principle.

The US has more hard assets than any country in the world but we are marking most of them as off limits.

Not smart.

24 posted on 10/18/2012 7:37:04 AM PDT by old curmudgeon
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To: SeekAndFind

Obama borrowed 6 trillion $ so far. No one in the world has this kind of money nor will ever. Obama is destroying the U.S.A by borrowing and printing trillions to give to his democrats who live off of welfare and don’t work.


25 posted on 10/18/2012 7:37:33 AM PDT by rurgan (Sunset all laws at 4 years.China is destroying U.S. ability to manufacture,makes everything)
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To: old curmudgeon

Good point.


26 posted on 10/18/2012 7:39:39 AM PDT by Nervous Tick ("You can ignore reality, but you can't ignore the consequences of ignoring reality.")
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To: SeekAndFind
Total annual spending on federal means-tested welfare programs has hit $1 trillion.

Adjusted for inflation that is the same per annum deficit that occurred from 1942 to 1945. We are spending at World War II pace?!?!?!?!

27 posted on 10/18/2012 7:39:48 AM PDT by central_va ( I won't be reconstructed and I do not give a damn.)
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To: SeekAndFind

Paging Dr. Cloward, Paging Dr. Piven, please pick up the red curtosy phone.


28 posted on 10/18/2012 7:41:06 AM PDT by central_va ( I won't be reconstructed and I do not give a damn.)
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To: SeekAndFind

Reminds me of a [somewhat] military saying: it’s easier to ask forgiveness than permission.


29 posted on 10/18/2012 7:41:08 AM PDT by OneWingedShark (Q: Why am I here? A: To do Justly, to love mercy, and to walk humbly with my God.)
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To: SeekAndFind
HA, trying doing that and see what happens to our cities. Europe has been trying that and look at the riots in Greece and the rest of the PIIGS...

So let 'em destroy the cities. Really, most of the large cities have become nothing but playpens for the freeloading deadbeats anyway. If they destroy their own homes, who are we to stop them?

Now, if they come for my home or my family's home, then they can expect to be removed from among the living. I really don't give a snot about them anymore. They're no different than German soldiers circa 1942.

30 posted on 10/18/2012 8:01:40 AM PDT by meyer (It's 1860 all over again - the taxpayer is the new "N" word)
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To: Nervous Tick

I think the “if’s” are over. It IS going to end badly, and I don’t think a lot of folks can comprehend the magnitude of it. Romney, of course is much better than what we have now, but he can’t stop it,either.It’s been too long in the making.I have two thoughts about these last days before economic collapse. Should one “hunker down” and severely curtail spending in order to conserve everything he can, Or buy everything he might think he will ever need and stretch his credit beyond his limits, and just try to struggle and pay on it as much as he can until everything does collapse? Many of those things won’t be there to get then.By spending now, it would help our failing economy, too,IF everything wasn’t made in some other country. Since the world hasn’t yet been through a situation like what is coming, What are the answers?


31 posted on 10/18/2012 8:04:27 AM PDT by Quickgun (Second Amendment. The only one you can put your hands on.)
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To: meyer

C’mon,now, Many German soldiers were respectable,hard working citizens who just got caught up in a political coup.Wrong to compare most of them to the garbage living in many of our inner cities. I know what you are saying, though, and i agree, I could care less about those people...


32 posted on 10/18/2012 8:12:57 AM PDT by Quickgun (Second Amendment. The only one you can put your hands on.)
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To: cincinnati65

Dependent broken people for for democrats... there’s a plan behind this madness...


33 posted on 10/18/2012 8:23:12 AM PDT by GOPJ
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To: Quickgun

>> Since the world hasn’t yet been through a situation like what is coming, What are the answers?

I sure wish I knew, FRiend. Personally, over the long haul I don’t see any way out besides some form of currency debasement; that argues towards putting yourself in “hard assets”, which means different things to different folks.

But how long before the debasement scenario takes hold and plays out? Anybody’s guess, and between now and then the current period of essentially deflationary behaviour could be prolonged.

I can tell you what I’m doing personally: moving to the country and buying the tools necessary for “country life” as I can afford them. Think dirt, tractors, implements, energy; I’m not a big believer in the full blown “stuff hits the fan” scenario, but it does seem sensible to me to get a *little* better control over my food, my water, and my space.

Good luck, and FRegards. And if you discover the real answer, please let me know right away! :-)


34 posted on 10/18/2012 8:32:53 AM PDT by Nervous Tick ("You can ignore reality, but you can't ignore the consequences of ignoring reality.")
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To: SeekAndFind

[ Most people like you are bigots. ]

THATS NOT TRUE,,, there are four choices..

The fourth is.. STOP SPENDING.. requiring less revenue.. lessening the deficit reducing or eliminating the need to borrow..

STOP SPENDING.. spend less, reduce current spending, eliminate federal government on EVERY LEVEL..


35 posted on 10/18/2012 9:00:03 AM PDT by hosepipe (This propaganda has been edited to include some fully orbed hyperbole..)
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To: hosepipe

correction of the quote: Tax, Print or Borrow ....


36 posted on 10/18/2012 9:02:18 AM PDT by hosepipe (This propaganda has been edited to include some fully orbed hyperbole..)
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To: hosepipe

RE: The fourth is.. STOP SPENDING.. requiring less revenue..

We all know that, but given the HUGE dependency on Food Stamps, Medicare, Social Security, Unemployment and all other sorts of welfare programs, I have to say — GOOD LUCK WITH THAT (unless of course, you want to see riots on the streets like Europe is experiencing ).


37 posted on 10/18/2012 9:02:58 AM PDT by SeekAndFind
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To: SeekAndFind

What about:

“If you don’t work, you don’t eat.”

???


38 posted on 10/18/2012 9:03:34 AM PDT by fishtank (The denial of original sin is the root of liberalism.)
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To: SeekAndFind

"My kind of town, Zimbabwe is....."

39 posted on 10/18/2012 9:07:00 AM PDT by P.O.E. (Pray for America)
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To: SeekAndFind

[ GOOD LUCK WITH THAT (unless of course, you want to see riots on the streets like Europe is experiencing ). ]

Riots in the streets will happen anyway... better to be prepared for them..
To fix America they MUST HAPPEN..

The progressives according to Saul Alinsky their main guru has set it up that it MUST HAPPEN..
They are preparing for it happen (the UNIONS).. to force it to happen..
Whether Obama WINS OR LOOSES...it will happen... they WANT it to happen..

Top down, bottom up, inside out.. <<- Beck displayed this for weeks..
They WANT instability and revolt.. to demand Martial Law..
George Soros even said it...

**->> http://www.youtube.com/watch?v=b5-kDx6gOZY


40 posted on 10/18/2012 9:24:23 AM PDT by hosepipe (This propaganda has been edited to include some fully orbed hyperbole..)
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To: SeekAndFind
Well, the modern Visigoths aren't going to accept the loss of their "rightly earned" plunder with good grace. Thus the full plan has to be "Cut spending - and shoot everybody who doesn't like it." Which is why the GOP really won't tackle the first part, knowing it will make the second part necessary at some point.

But, since economic reality is going to force the first part, anyway, the government has been buying a lot of hollow points. The concern is, they won't be all that discriminating in their choice of targets when TSHTF.

41 posted on 10/18/2012 9:55:15 AM PDT by Mr. Jeeves (CTRL-GALT-DELETE)
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To: elpadre

Regarding the video you linked. It is SATIRE. The message rings true about a portion of the culture but the artist has an interesting history and motivation, take the time to look into it. I’d like to hear more about the artist from the artist.


42 posted on 10/18/2012 10:02:41 AM PDT by BigDaddyTX (Don't Mex with Texas)
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To: SeekAndFind

So Bernanke is the “guy made out of money” in the Geico commercials!


43 posted on 10/18/2012 11:42:25 AM PDT by TurboZamboni (Looting the future to bribe the present)
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