How will the bailout affect the $407 billion federal deficit?

[bluecatz]

I was thinking. The budget deficit recently grew to $407 billion.
Now $700 billion of tax payer money will be given to Wall Street possibly no later than the end of this year. That's an amount even higher than the whole deficit!
How will this affect the prospect of universal health care and attempts by Obama to cut taxes for the middle class and small business?
Will this slow down or stop these proposals from becoming a reality?

[Thrill]

1. Cheney told us deficits don't matter? Thats not true?

[Motown_Johnny]

2. I think the deal is half now half later... and yes it will increase the debt and deficit

[bluecatz]

5. The other half will be issued whenever Bush wants it

Yes, the ammount would be issued in parts, but there is no timetable, and if congress wants to disapprove the last $350 million, it would have to gather a veto-proof majority that I doubt it has.

[stray cat]

3. over a trillion in national debt - I'll be lucky to stay employed

It should have an impact. These bills have to be paid.

[Uben]

4. It will actually cut it in half!

...to around $190 billion, if you crunch the numbers on the "fuzzy math calculator". (wonderful contraption!)

[TexasObserver]

6. It will be covered when all the stealing by the Bush administration is ended.

All those hundreds of billions the Bush administration has funneled to the likes of Halliburton will end. As the economy recovers, revenues will improve and that will drive tax revenues up, just like when we had the last Democratic president. Remember? When we had a balanced budget and a surplus? Do you remember that started when a Bush was president and he had totally screwed up the economy?

[Bernardo de La Paz]

7. Probably off-budget, funded by bonds, but still part of the 11 or so trillion government obligations