Bush Celebrates Fourth Largest Deficit in History - WOOHOO!!!

[AtomicKitten]

Bush Celebrates Fourth Largest Deficit In History
http://www.thinkprogress.org/



Today, the Office of Management Budget projected a $296 billion federal deficit for fiscal year 2006. Bush held a press conference arguing that this is a vindication of his economic policies.



Actually, it would be the fourth largest deficit of all time. Here’s the top five:

1. 2004 (George W. Bush) $413 billion
2. 2003 (George W. Bush) $378 billion
3. 2005 (George W. Bush) $318 billion
4. 2006 (George W. Bush) $296 billion (projected)
5. 1992 (George H. W. Bush) $290 billion

When President Bush came into office, he inherited a surplus of $284 Billion. At that time, the Bush administration predicted a $516 billion surplus for 2006.

The fact that Bush now considers a $296 billion deficit an occasion to celebrate shows how far we’ve fallen.

[emulatorloo]

1. nominating EOM

[shraby]

2. And this is with the Iraq War off-budget.

[Lasher]

32. And it's also counting excess SS receipts

Without inappropriately counting contributions to the SS Trust Fund, things would look quite a bit worse.

[Poiuyt]

3. Contessa Brewer on MSNBC said, "A $300 billion deficit isn't much to

brag about."

note - I think those were her words, but she could have been quoting someone. I always hit the mute button on my TV when Bush is on, so I missed a couple of seconds when Contessa came back.

[AtomicKitten]

4. I turn the channel. n/t

[snowbear]

5. ...As the stock market continues down as he blabbers on....

[AtomicKitten]

7. ... and gas projected to be $4 this summer .... WOOHOO!!!

Gas Prices Spike to Second-Highest Level Ever, Analyst Predicts $4/Gallon This Summer
http://www.thinkprogress.org/

NBC News reported today on a new Lundberg Survey showing that the average national gas price has spiked up 11 cents over the last two weeks to $3.00 per gallon, the second-highest level in U.S. history.

TRILBY LUNDBERG: "We’re within a couple of pennies of the nominal all-time high last September, when there was a shortage of gasoline brought on by hurricane damage. And we’re just six cents under the real high — the inflation-adjusted high of March ‘81 — in today’s dollars."

Also this morning, Brad Proctor of GasPriceWatch told ABC News he was expecting possible $4/gallon gas prices this summer. “We’ll see $3 and possibly $4 depending where the summer goes in terms of hurricanes and other natural disasters that may happen. We’ll see an upward trend occur.

Ya, baby. We're livin' large.

[pa28]

6. Unreal. That's like being excited over a 4 grand Visa bill you can't pay.

Excited because it was 6 grand last month and it 'proves what a good money manager you are'.

:crazy:

[grilled onions]

8. Happy Days Are Here Again!

While the upper will be singing that most of us will still be belting out "Brother Can You Spare A Dime!"

[burf]

23. I was thinking

the song would be "We'll all be drinking that free Bubble Up and eatin' that Rainbow Stew" by Merle Haggard.

[WePurrsevere]

9. Didn't they change what is counted against the deficit? I thought they

did to the deficit budget basically what they did to the cost of living and fudge the books to look good by eliminating things that take the biggest chomps out.

(edited to remove an unnecessary word)

[AtomicKitten]

10. They've been cooking the books a la Arthur Anderson. n/t

[MattP]

11. Hidden numbers

So does anybody know what it is when they count the Iraq war and if the Tax cuts are included as not being restored in 3 or 4 years?

[underpants]

12. Revenue is finally back to where it was 5 years ago

that is another way of stating what your top5 shows.

[Ian_rd]

13. Rove Strategy #28: Turn a weak point into a strong point

It's the reverse of his strategy to turn his opponent's strongest characteristic into a liability, as he did with Kerry's military service when compared to Bush's tour with "Gucci Squadron."

They're taking the biggest deficit in history and holding it up proudly with a big smile.

"Look at it! So beautiful! And WE brought it you!"

A similar tactic is to predict higher unemployment numbers than is actually expected. Gullible critics then pounce saying, "See! Even THEY say high unemployment is to come!" And then when the unemployment numbers come in slightly lower than their prediction, but still high nonetheless, they will say, "Wow! Unemployment is lower than we all expected! Victory for Bush and his ingenious economic plan!"

[AtomicKitten]

14. lipstick on a pig n/t

[AtomicKitten]

15. more on the story

Bush touts fourth-largest deficit in US history
http://www.rawstory.com/news/2006/Bush_touts_fourthlargest_deficit_in_US_0711.html

RAW STORY
Published: Tuesday July 11, 2006

President Bush today held a press conference boasting of a reduced US defecit--even though it is still the fourth largest defecit in American history, RAW STORY has learned.

"This good news is no accident," Bush told taxpayers from the East Room of the White House. "It's the result of the hard work of the American people and sound policies in Washington, D.C."

Although Bush inherited a budget surplus, and a national debt that had dwindled in both of Clinton's terms, his administration has since seen a ballooning defecit and record debt. The nation's three highest deficits were seen under Bush.

"The increase in tax revenues is much better than we had projected," the President explained, "and it's helping us cut the budget deficit."

If the deficit this year matches the expectations Bush is touting, it would come in as the fourth highest ever, at $296 billion.

"Starting in 2001," Bush stated, "my administration worked with the United States Congress, and we delivered the largest tax relief since Ronald Reagan was in the White House."

The national debt increased 11.3% in Reagan's first term, and another 9.3% in his second.

"In order to reduce the deficit," Bush added, "you got to set priorities, and in working with Congress we've set clear priorities. And the number-one priority of this administration and this Congress is to make sure men and women who are defending the security of the United States and hoping to spread peace through the spread of liberty get all the help they need from our government... Every year since I took office, we've reduced the growth of discretionary spending that's not related to the military or homeland security."

"Philosophy's clear," he later added. "Every American family has to set priorities and live within its budget, and so does the federal government."

[Auntie Bush]

16. What a load of crap! The idiot needs to be tortured and rendered!

[AtomicKitten]

18. at least give him a room at Gitmo n/t

[Panda1]

17. Well it IS going well...for HIM

and all his buddies. Just not for the rest of the country/world. But yeah, the deficit is just another WOOHOO moment to the thugs.

[liberal N proud]

19. So much for the Fiscal CONservative nature of republicans

And the media sings his praise!

[mkb]

20. Watch What You Eat

     The Bush deficits show us that the economy is not really
doing that well.  The long term health of the economy is
actually getting worse, in my opinion, based on several
factors.  Many people were sucked in during the nineties boom
into thinking everything was great when in fact the long term
trends that I think are important have been negative.  It's
like biting into an apple and tasting a lemon.  Be very
careful about doing things like that.  Don't let your heart
get carried away.
     

[The Wizard]

21. Next thing you know

They'll send singing telegrams to survivors of those killed in Bush's illegal and immoral invasion and occupation of Iraq.

[Le Taz Hot]

22. And we're happy about this?

:shrug: I mean, really, politics aside, there are desperate people out here. My family included. Sorry if I don't celebrate with everyone else.

[AtomicKitten]

34. um, no, the Repubicans are celebrating

and we are using sarcasm to point and laugh at the nimrods.

[kentuck]

24. They actually stood up and applauded when he said....

tht they had cut the deficit to $296 billion dollars! It's unreal.

[opihimoimoi]

25. Delusional rationalization

[slestak]

26. That's a 7% decrease from last year...

... so if we keep his policies in place, we'll have it paid off in 14 years! Woo hoo!

[BigYawn]

27. I may be partially responsible for the deficit reduction of 2006...

LOL because I sold off all my stocks in early 2006 which
I had been holding for many years. Now I am paying 10 times
the taxes in 2006 what I paid in 2005. I think there are a
lot of others doing the same thing this year after recognizing
that we are headed for a major financial imbroglio in the near
future. So this defict reduction of 200 Billion in 2006 will
morph into major increases in 2007 & 2008.

[chelsea0011]

28. Happy Deficit Day to you too.

:party: :party: :party: :party: :party:

[boolean]

29. Not to mention...

Not to mention that the white house makes the estimate in the first place. So they inflated the numbers to make this "look good".

The REAL elephant in the room is the national DEBT. For those who are unfamiliar with economics, every year there is a deficit, that deficit is added to the DEBT. In every year there is a surplus, an amount (equal to whatever percentage of the surplus is spent on debt reduction) is subtracted from the debt. In other words, the decades of running deficit after deficit have been steadily increasing the national debt. Only when Clinton made a surplus was the debt actually reduced.

As anyone with a credit card knows, debt costs interest. The bigger the debt, the bigger the interest paid. (Not the percentage, though that also changes...I'm talking about the amount of money spent). Sooner or later, if you don't get your finances in order, you are forced to "default", which means you can't pay the amount loaned to you back. If you guys remember from a few months ago (I think), lawmakers had to raise the default limit because of how bad things have gotten.

This is NOT sustainable. It's a giant pyramid scheme that is going to collapse the economy if these bastards don't get their house in order. But it's not them who will be paying for it. Future generations will be, which is largely why they don't care.

[BigYawn]

30. Since the "elephant" part of deficits are entitlements, please explain

how YOU, as mr. president, would go about ELIMINATING the
deficits and thus REDUCE the national debt. If you do not
have any realistic solutions, neither does anyone else.

So, I agree with you completely that we are headed for a
collapse in financial markets sooner or later. The next
depression will make the 1930's one look like a picnic.

[boolean]

31. Simple

Raise taxes. Stop spending money on more bombs and guns and start spending money on education and health care.

A highly educated and healthy workforce brings about more productivity. More productivity expands the economy. An expanded economy brings in more tax revenue.

The unfortunate thing is that the more uneducated the people are, the easier it is to control them. The republicans have, over the decades, created a generation of ignorant people who vote on their emotions instead of their economic well being. (Abortion, gay rights, flag burning. These are emotional issues for people, not rational ones). Funding education so that people know how to add and subtract is exactly what powerful conservatives do NOT want.

[BigYawn]

33. That is a proven "loser" based on actual history...

JFK cut taxes and economy grew resulting in more tax
revenue into the treasury. Ditto Reagan & Bush II.
In fact the growth after taxcuts were the strongest
economic expansions.

What you are erroneously assuming is that the economy is a
zero sum game. You think higher taxes will result in higher
tax collections. That is not how the economy works. Why do
you think US Treasury has collected record revenues in 2005
inspite of the huge taxcuts by Dumbya? Because the economy
EXPANSION was greater than the tax reduction.

I know what you are going to say. How come the Clinton tax
hikes caused reduction in budget deficits. Simple!!! There
was a huge internet stock bubble going on during his 2nd term
resulting in huge capital gains taxes from people who were
trading stocks and got out before the bubble crashed with a
bang. I know from personal experience I had stock market profits
during those years over 3 times the size of my wages. I paid
huge amounts in capital gains taxes.

Have long have you been trading stocks? I have been trading for 40
years and almost all my net worth is the result of stock market
profits. And you don't do that by being ignorent of basic economics.

[boolean]

36. HAHAHA

Really? It's a proven loser? Because I thought we were talking about the deficit and the debt.

JFK cut taxes and economy grew resulting in more tax
revenue into the treasury. Ditto Reagan & Bush II.

And the revenue was less than costs. Hence deficit.


In fact the growth after taxcuts were the strongest
economic expansions.


Strong growth leads to inflation if real GDP outpaces potential GDP. Which is what's happening right now. This is not a good thing no matter how you try to spin it.


What you are erroneously assuming is that the economy is a
zero sum game. You think higher taxes will result in higher
tax collections. That is not how the economy works.


Then why does it work in the Canadian economy? And I'm not assuming anything. I didn't just say "raise taxes", I said raise taxes and stop spending on the military and start investing in human capital. The fact is that taxes that are TOO high will indeed hurt the economy, but taxes that are too LOW doesn't help either. Taxes in the United States right now are way too low, especially for the rich.


Why do you think US Treasury has collected record revenues in 2005
inspite of the huge taxcuts by Dumbya? Because the economy
EXPANSION was greater than the tax reduction.


And revenue was less than costs. Hence deficit.


I know what you are going to say. How come the Clinton tax
hikes caused reduction in budget deficits. Simple!!! There
was a huge internet stock bubble going on during his 2nd term
resulting in huge capital gains taxes from people who were
trading stocks and got out before the bubble crashed with a
bang. I know from personal experience I had stock market profits
during those years over 3 times the size of my wages. I paid
huge amounts in capital gains taxes.


I won't disagree with that. But I wasn't going to say it.


Have long have you been trading stocks? I have been trading for 40
years and almost all my net worth is the result of stock market
profits. And you don't do that by being ignorent of basic economics.


If you're such an economic genius, tell me how an infinitely increasing debt is at all sustainable.

[BigYawn]

37. I think you have hope of being educated in tax 101

Let me guess, you are probably under 30 years old. But even if you
are older than 30, you are displaying some modicum of gray matter,
so may be we can talk.

The "cost" you refer to, is the "spending" side of budget. I am sure
you know what GDP stands for. Guess what, military expenditures currently
are a smaller percentage of GDP in many decades. And guess what is the
"gorilla" on the spending side? I know you did not want to bring that up,
but I will. It is ENTITLEMENTS. In fact go look up what the ratio of
entitlements to military expenditures was during JFK's reign. It is larger
by orders of magnitude now!

But in any case blaming the deficits on taxcuts is the height of stupidity.
All taxcuts do is expand the economy and thereby bring in more tax revenues.
How much the congress and president go out and spend has no direct bearing
on what the tax revenues are. The deficit is then paid by issuing treasry
obligations such as bonds, bills & notes.

My main point is EVRY TAXCUT HAS RESULTED IN HIGHER TAXES COLLECTED. JFK
understood that and Reagan understood that and Bush II understands it.
The sooner we democrats get on the taxcut bandwagon, the more democrats
will get elected.

Finally, I am against deficits all the way. You are correct in that deficits
are not beneficial in the long run. But unfortunately politicians make
spending decisions and all they worry about is next election. Screw the
long term is their motto.

[maxsolomon]

35. the iraq war CANNOT be included in these numbers

can it?