CBO: Obama policies would require deficits of $9.5 trillion through 2021
By Lori Montgomery,
WashPost
Friday, March 18, 1:51 PM
President Obama’s budget plan would produce deficits of $9.5 trillion over the next decade, the nonpartisan Congressional Budget Office said Friday – more than $2 trillion higher than White House estimates.
In its annual re-calculation of the president’s budget, the CBO concluded that Obama’s policies would cause the portion of the national debt held by outside investors to double during that period, rising to $20.8 trillion, or 87 percent of the nation’s annual economic output.
Much of the negative impact on the nation’s budget outlook would come from the president’s proposals to maintain tax cuts for the middle class that are now due to expire in 2012. Though Obama has proposed raising taxes on corporations and the wealthy – primarily by limiting the value of itemized deductions – his tax policies on the whole would reduce revenues by more than $3 trillion over the next decade compared with current law, the CBO said.
The lost revenue would require more borrowing, which in turn would increase interest payments on the national debt. The CBO said interest payments would more than quadruple by 2021 under the president’s policies, from $214 billion this year to more than $900 billion a year by the start of the next decade.
(More here.)
WashPost
Friday, March 18, 1:51 PM
President Obama’s budget plan would produce deficits of $9.5 trillion over the next decade, the nonpartisan Congressional Budget Office said Friday – more than $2 trillion higher than White House estimates.
In its annual re-calculation of the president’s budget, the CBO concluded that Obama’s policies would cause the portion of the national debt held by outside investors to double during that period, rising to $20.8 trillion, or 87 percent of the nation’s annual economic output.
Much of the negative impact on the nation’s budget outlook would come from the president’s proposals to maintain tax cuts for the middle class that are now due to expire in 2012. Though Obama has proposed raising taxes on corporations and the wealthy – primarily by limiting the value of itemized deductions – his tax policies on the whole would reduce revenues by more than $3 trillion over the next decade compared with current law, the CBO said.
The lost revenue would require more borrowing, which in turn would increase interest payments on the national debt. The CBO said interest payments would more than quadruple by 2021 under the president’s policies, from $214 billion this year to more than $900 billion a year by the start of the next decade.
(More here.)
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1 Comments:
This information should cause any clear thinker to be concerned. Unfortunately, many politicians (R and D) are still trying to buy votes throught bribes, opps, I mean spending. Government is attempting to be a charity for all, the rich and the poor, and it is a financial failure.
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