Federal Budget Deficit Drops To Lowest Level Under Obama

[highplainsdem]

Source: Talking Points Memo

The federal budget deficit is projected to drop in fiscal year 2014 to its lowest level since President Barack Obama took office, according to the Congressional Budget Office.

CBO projects the federal deficit will fall from $680 billion in fiscal year 2013 to $514 billion in fiscal year 2014.

Federal revenues are expected to increase by 9 percent in 2014, to $3 trillion, while spending will increase 2.6 percent to $3.5 trillion -- both in line with the 40-year average.

Expiring tax cuts for businesses and an expiring cut to the Social Security payroll tax, along with an improving economy, account for the boost in revenue. The increase in spending is attributed largely to higher spending on programs like Social Security, Medicare, and Obamacare.

-snip-

Read more: http://talkingpointsmemo.com/livewire/cbo-budget-deficit-2014

[fasttense]

1. Since it is soooo low, can we start funding food stamps, head start and unemployment again? n/t

[Deuce]

2. One can only hope...

[BlueCaliDem]

4. That would be up to the Teapublican House.

They get to decide what happens to the funds.

The president can't unilaterally allocate funds to any program he pleases *without Congress' consent.

[progressoid]

8. Then the OP shoud say "Federal Budget Deficit Drops To Lowest Level Under Teapublican House"

[BlueCaliDem]

10. It shouldn't because that would be a bald-faced LIE.

As the OP clearly states, the Federal Budget deficit drop - to the lowest level under President Obama - is due to "Expiring tax cuts for businesses and an expiring cut to the Social Security payroll tax, along with an improving economy, account for the boost in revenue."

Spending, as allocated by Congress, has actually increased: "The increase in spending is attributed largely to higher spending on programs like Social Security, Medicare, and Obamacare." - all voted on by Congress.

Yet, despite the INcrease in spending, the Federal Budget deficit has dropped, and that is due to the work by Congressional Democrats and due to the policies this president supported.

For clarity's sake, my post that you had responded to should be read in context with the post I responded to. You took it out of context. When taken out of context, it takes on a whole new (and wrong) perspective.

[progressoid]

24. It just seems a little disingenuous.

We blame the GOP when budget cuts negatively affects the poor and the unemployed but then take credit for that same budget if it reduces the deficit.

Pf course, the irony is that as the deficit falls, Repukes will claim credit for it because, as you said, "congress, not the WH, decides what to spend, how, and where". Just as they did during the Clinton years.

[BlueCaliDem]

25. Republicans can't take credit for this drop in the Fed. budget deficit because there are more

variables that come into play than merely spending or cutting bills in order to make that happen.

One of them is a good jobs bill, something they've vehemently opposed or, in this case, the Stimulus that not a single Republican voted for, that has saved and helped create jobs. They're united in obstructing everything so as not to give another Democratic president a strong economy when he leaves office. They're still suffering from the black-eye President Clinton and the Democrats dealt them after they had passed the 1993 OBRA that's largely credited for the prosperity of the 1990's.

Spending, according to the CBO, has INcreased. Not decreased.

So it's factually disingenuous for Republicans to claim credit for this Federal budget deficit when a record of 12 years, under Republican (mis)leadership) in Congress, shows their policies have done the exact opposite. Republican policies never benefit Big Gubment, thus claiming credit for a drop in any Federal budget deficit is what's really disingenuous, isn't it?

[okaawhatever]

26. The President proposes a budget, as required by law, to Congress. Congress then goes over the

budget, makes changes and then approves the budget in whole or in part. Also, there can be negative cuts, such as to the SNAP program that we can blame the Republicans for while still not giving them credit for the deficit going down if their other bills increase by more than they cut. Example, the Farm bill. Ditto military spending.
In this instance, most of the deficit reduction comes from additional taxes, not a reduction in spending. While the article says it's the ending of tax cuts, Obama and the Dems fought very hard for those. The article makes it sound like it was something that just happened. There was massive debate and pushback for all the changes which included: Capital gains tax going from 15% back to the 20% of the Clinton years. The top rate went up to 39.4% (not that any of them pay that) a new medicare tax of 3.9% on both cap gains and income for earners over 450k, and other changes.

The bullshit meme the right is promoting is that this is all a result of the sequester but it isn't true. In fact, the sequester for as much as it hurts, doesn't reduce the deficit much.

[Munificence]

17. So Low?

Really?

Was this sarcasm?

[Arkana]

3. And yet the right will scream--SCREAM--that Obama is raising spending.

[BlueCaliDem]

6. It just goes to show how politically ignorant they are - and should be reminded over and over again.

Congress, not the WH, decides what to spend, how, and where.

You'd be amazed how many Rightwing-know-nothings don't even know that constitutional fact.

[hughee99]

11. Does that mean Democrats were responsible for *'s last budget?

The one with the $1.4 trillion deficit, since Dems ran both the House and Senate when it was passed?

[BlueCaliDem]

13. The one that President Obama with a Democratic majority reduced to $1.29 trillion?

That one? Hell yes.

But you do know that Bush's 2009 budget wasn't signed into law until five and a half months after it passed, right? That's when President Obama was already president, and together with Democratic majorities in both chambers of Congress, they cut Bush's last budget request from $1.416 trillion to $1.29 trillion.

Strange why you'd want to omit that important information. Are you defending...Republicans?

[hughee99]

14. Nope, not that one. That was the Fiscal year 2010 budget.

The PREVIOUS one. The one that had $750 billion for TARP in it. The one with the $1.29 trillion deficit was Obama's first budget, not *'s last.

And as far as defending repukes, you're the one who pointed to congress instead of the president. All I did was give you another example to see if you wanted to stick to your assertion that congress, not the president is "responsible" for the budget. While congress handles most of the specifics, BOTH congress and the president have a good deal of input (officially or indirectly) into how much is spent and on what.

[okaawhatever]

27. The President creates a budget, by law, and then delivers it to Congress. Congress then goes through

it, makes changes, and approves it. Many of the ideas and the general direction come from the President, but the ultimate spending is the result of Congress. Most of the f-ups happen in Congress because that's where each legislator tries to get something for their district. I think a big problem is that each of them had competing interests and there is so much compromise in there that nothing radical happens.

[Ishoutandscream2]

5. Posted this on my facebook page

No matter what, my far righty friends will find a way to bitch about this.

[alp227]

7. TAX AND SPEND LIBERAL Obama is!

reminds me of this toon

http://www.greenberg-art.com/.Toons/.Toons,%20favorites/qqxsgFiscalConservative%282%29.jpg

[Earth_First]

9. Much wow.

Very financial.

[michello]

12. Ok I just posted this article on another website and this is the response

That I got from Rethug who claims they're not a Rethug.




Learn the difference between the Fed Budget and National Debt, please.

http://www.brillig.com/debt_clock/
U.S. NATIONAL DEBT CLOCK
The Outstanding Public Debt as of 04 Feb 2014 at 0505 PM GMT is:


The estimated population of the United States is 317,576,086
so each citizen's share of this debt is $54,483.17.

The National Debt has continued to increase an average of
$2.51 billion per day since September 30, 2012!
Concerned? Then tell Congress and the White House!

******
That's why they have to raise the Debt Ceiling at the end of Feb. (for the umpteenth time) and everybody is freaking out.

If you groan me, you are just showing your ignorance on basic fiscal principles.

[michello]

18. Does anybody have an answer for what I posted above?

[Demit]

19. Ask, "So you're saying deficits don't matter after all?"

[michello]

21. Ok, thanks

[phleshdef]

20. You can't pay down the debt until you get the annual deficit into surplus territory.

Obama overseeing a lowering of the annual deficit brings us closer to being able to pay down the debt.

[michello]

22. Yaaaas! This is what I needed, Thanks.

[cosmicone]

15. Is it because of George Bush's policies now showing effect?

Probably Ronald Reagan's economic plan is now coming to fruition!!!

[hue]

16. K&R!! Needs more exposure!!!

[Blue_Tires]

23. So where are all the Teabagger deficit hawks?

Their silence is deafening....