Yes, but we have a revenue problem, right?
The federal government borrowed 46 cents of every dollar it has spent so far in fiscal 2013, which began Oct. 1, according to the latest data the Congressional Budget Office released Friday.
The government notched a $172 billion deficit in November, and is already nearly $300 billion in the hole through the first two months of fiscal year 2013, underscoring just how deep the government’s budget problems are as lawmakers try to negotiate a year-end deal to avoid a budgetary “fiscal cliff.”
Higher spending on mandatory items such as Social Security, Medicare and interest on the debt led the way in boosting spending compared with the previous year, which also highlights the trouble spots Congress and President Obama are struggling to grapple with.
All sides agreed to discretionary spending cuts and automatic spending cuts last year, but have been unable to agree on ways to control entitlement costs, which are the long-term drivers of deficits and debt.
Fiscal year 2013 began on Oct. 1 and so far the government has spent $638 billion and taken in just $346 billion in revenue.
That tax revenue is up by $30 billion compared with last year, or about 10 percent.
But spending is up even more — a staggering $87 billion, or 14 percent. The CBO said much of that higher spending total is due to timing of payments month-to-month. Without those shifts, spending would be up $22 billion, or 4 percent.
Overall, CBO analysts said that, accounting for shifts in both revenue and spending, the deficit would be $8 billion lower this year than it was last year at this time.
In a universe where these staggering statistics matter, there would be near panic at the course the government was on. There would be emergency meetings of national leaders to deal with the crisis. There might even be an effort by elected officials to meet non-stop in order to come up with a plan to pull the nation back from the yawning chasm that has opened before it. The people would demand that the politicians do something.
Alas, we live in this universe with this bunch of charlatans, mountebanks, and devious, devious men who have fooled themselves into believing they can spend and spend, and spend some more with little or no consequence. They nearly tear each other apart over placing a band aid on a gaping wound while still spending us into oblivion. And the people just want it all to go away and leave them in peace so they can watch Dancing with the Stars without having to think about what’s coming.
It’s not an addiction. It’s conscious, deliberate, cold blooded politics. It can be reversed anytime as long as there is commitment to doing what everyone knows has to be done.
Reduce spending now.
How many people have actually looked at a breakdown of spending by department, agency and corporations of the federal government? If they did such a thing they would see that the bantering online, TV, radio and print is ‘slanted’ in their commenting and reporting. For example in 2011:
Defense – $710B
HHS – $890B (including medicare & medicaid)
Treasury – $540B (including interest)
Intel – $73B (including NIP $ MIP)
SS – $780B
All Other- $802B
TOTAL – $3.8T
Which accounts are being borrowed? Want to just cut HHS and Social Security recipients off? Whas really has a legitmate fix that is not full of hypocrisy?
Well, lets start with saying: reduce or get rid of the unconstitutional parts. IE welfare. IE: SS, Medicare, and Medicaid.
Get rid of those and suddenly we have a surplus.
So the question then comes to /how/ to get rid of them. Can’t take them away immediately. No matter how stupid it is, those were promises people were taxed under and planned their retirements by – so phase them out. Every two years, push the age of eligibility out by 6 months, and every two years, cut the qualifications for impoverished medical help by a percentage. Continue until eradicated.
Problem solved. Paul Ryan has some fancy charts that says so.
You make an interesting assumption — welfare SS, Medicare, and Medicaid being unconstitutional. What valid evidence do you have that such government services are unconstitutional?
Beyond the “general welfare” clause of the Constitution, where are they allowed? In case you think the phrase “general welfare” means what liberals claim, you should spend some quality time reading the Federalist Papers.
Dear Larry J,
The “Federalist Papers” are not the constitution!
#3 “Whoever seriously considers the immense extent of territory comprehended within the limits of the United States, together with the variety of its climates, productions, and commerce, the difference of extent, and number of inhabitants in all; the dissimilitude of interest, morals, and policies, in almost every one, will receive it as an intuitive truth, that a consolidated republican form of government therein, can never form a perfect union, establish justice, insure domestic tranquility, promote the general welfare, and secure the blessings of liberty to you and your posterity, for to these objects it must be directed: this unkindred legislature therefore, composed of interests opposite and dissimilar in their nature, will in its exercise, emphatically be, like a house divided against itself.”
And so, you stand divided on the definition of the “welfare clause” as contained in Article I, Section 8 of the constitution/Preamble — a matter long settled by congress and the Supreme Court since 1935.
I would certainly entertain any grand legal standing you believe you have that could reverse the courts standing decision — especialy using any of the federalist papers to include #41.
It’s why we are in a stealth Depression. Things seem remarkably rosey considereing true unemloyment is above 20%, household incomes are down 10% in four years (unless that is understated like almost every other propaganstistic), something like 50% of homeowners are underwater, and a shocking number in default or close to it. There is a looming multi-trillion dollar student loan crisis, the only thing propping up the auto industry is gubamit purchases, our trading partners are about to collapse economically, and China, the world’s economic powerhouse is dependent on the US and Europe for its markets. What me worry?
Yet, there is no drumbeat to lynch the government. It got reeelected!!
Well think about it this way. Suppose you and your spouse lost your jobs for four years, but you were extended an unlimited line of credit that you thought would last forever. Your lifestyle might actually go up. You could live high on the hog!!
That is exactly where the country stands.
Here’s hoping that obama’s charm and brilliance will keep that unlimited line of credit going gangbusters, because that seems to be the plan.
And only a few nuts on discreditted websites like this are worried about it.
EBT cards on steriods. Report from another site: “Was standing in line at check-out to pay for some last minute items. In front, was a well dressed lady, well coiffed, nice perfume and some good trinkets around her neck and wrists. It was her turn to pay the cashier. Out she pulls an EBT card, clerk swipes it and purchase complete. Not a word!!!”
We The Elite People of culture of Corruption in Washington DC defintely believe they’re “helping the poor” with this Kabuki theatre and rampant “criminal enterprise” called entitlement,i.e., food stamps or SNAP. Willing to bet the lady in question most likely put her groceries in a parked Lexus, with a “wheel chair” accessible sign hanging from the cars rearview mirror.
Auditing of ALL government welfare programs for fraud and waste? NAH! Needless Expense!!!! Besides, (goes the argument) fraud and waste in ALL welfare, accounts for less than 0.6% (now, where in the world did this figure come from?) of all government largesse…trouble is, this largesse is fast nearing $1 trillion dollars/year. This includes ever increasing fraud and waste!!! 95 (est.) million Americans are now on some form of government assistance programs. Pray. Amen. This is 1/3 of 308 (est.) million Americans. Germany and Argentina combined type of collapse.
When Obama started his first term we only spent 40% MORE than we earn, since then we have not had a budget in over 3 soon to be 4 years, we now spend almost 50% MORE than we earn and even better –
We are buying 70% of our debt from ourselves and PRINTING MONEY OUT OF THIN AIR to pay for it all (QE3).
Ask Zimbabwe or Weimar Germany how that worked out for them.
Spend and print until the US dollar becomes Zimbucks. That’s the plan, yes, yes we can.
Change is coming to America…
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