The tsunami of spending that has swamped Washington is staggering. We are being warned by to expect "trillion-dollar deficits for years to come". Recently the Congressional Budget Office released its latest estimates for the Federal Budget. These numbers include the recently passed bailout bills and the effects of the slowing economy. The estimates do not include revenue changes due the economic stimulus packages being proposed by the new administration. Here is the Family Perspective on some of these numbers.
Federal Budget Estimates Total Bil Per Family
2008-2009 Expenditures $3,100 $27,222
2008-2009 Deficit $1,190 $10,450
2007-2008 Deficit $ 455 $ 3,995
The result of all this deficit spending is that the Federal Government has a huge debt. There are two way that debt is measured. One includes the debt to the Social Security and Medicare Trust Funds and the other is the debt held by the public (and foreign countries). Here are the numbers released by the Office of Management and Budget from October 2008.
Federal Debt Estimates Total Bil Per Family
Including SS Debt $9,849 $86,486
Not Including SS Debt $5,600 $49,175
Our debt is growing exponentially. If deficit spending is supposed to jump start the economy, with all the deficit spending we have had in the last decade, our economy should be in the stratosphere.
January 15, 2009
Congress recently passed a $787 Billion ($6,911 per average family) Economic Stimulus Bill that is heavily weighted toward increased Government Spending verses providing tax relief. The promise of the bill is that it will create or save 3.5 million jobs.
Total Bil Per Family
Increased Expeditures $511.6 $4,492
Tax Reduction/Credits $275.4 $2,418
Cost per saved job: $224,857
It appears that America was just sold a lemon by the Democrat majority. The bill was polished up to be new but in reality it consists of a lot of worn-out ideas that did not work the first time they were tried. But even though this clunker is way over-priced, we should not worry, our children will get to pay it off.
February 17, 2009
Obama's Budget Deficits; Red Tide 2:
President Obama recently presented his first proposed budget (2010) and revised our current budget (2009) to reflect the costs of the recently passed Stimulus Bill. It projects greatly increased deficits for both our current year and future years. Some economists have contented that the larger deficits can be expected due to the rosy economic assumptions being used and the additional spending Congress is expected to tack on.
Federal Budget Deficits Total Bil Per Family
2007-2008 (Last year) $ 455 $ 3,995
2009(Projected 10/08) $1,190 $10,450
2009(Current estimate)$1,752 $15,385
2010(Proposed) $1,171 $10,283
2011(Proposed) $ 912 $ 8,008
2012(Proposed) $ 581 $ 5,102
2013(Proposed) $ 533 $ 4,680
2014(Proposed) $ 570 $ 5,005
Obama's prediction of "trillion-dollar deficits for years to come" probably was not an exaggeration.
March 2, 2009