Q&A about Bush's $2.77 trillion budget

[AGENDA21]

WASHINGTON (Reuters) - Following are questions and answers on U.S. President George W. Bush's $2.77 trillion budget proposal for fiscal 2007 unveiled on Monday.

HOW BIG ARE THE DEFICITS EXPECTED TO BE?

-- The blueprint forecasts a record $423 billion deficit this year. But the White House sees it shrinking to $354 billion in 2007, $223 billion in 2008 and $205 billion by 2011.

-- The plan expects the deficit to narrow to 2.6 percent of gross domestic product in 2007, 1.5 percent in 2008 and 1.2 percent by 2011, from a 3.2 percent share of GDP this year.

WHAT HAPPENS TO THE DEBT?

-- The total federal debt would swell to $11.5 trillion in 2011 from $8.6 trillion this year.

More in link below..

http://today.reuters.com/news/newsArticle.aspx?type=politicsNews&storyID=2006-02-06T203444Z_01_N06173363_RTRUKOC_0_US-BUSH-BUDGET-QUESTIONS.xml&archived=False

[DJ MEW]

1. Some day the upkeep on the debt

will cost more then any other item in the federal budget. If I am not mistaken it already takes up over 10% of the total budget.

[saskatoon]

2. the debt

who or what is the Debt owed to and how much interest are we paying on that debt each year?

[DJ MEW]

3. most of the debt is in government bonds

I think. Most of the bonds are owned by China, Japan, and a few other foreign countries.

[LSK]

5. you can buy a T-bill for say $100

When it matures in say 5 years, its worth $120. That $20 is the interest on the debt. Now multiply this by billions.

[corporate_mike]

4. How much of military spending is NOT in the budget?