Friday, March 7, 2014

Obama Budget Increases Public Debt to $25 Trillion, Hikes Taxes, Never Balances

Remember this?

President Obama's fiscal year 2015 budget is out and everyone is pouring over the numbers.  Despite over $1 trillion in tax increases, the budget predictably never balances, and increases the national debt immensely.

Based on President Obama's projections, the national debt (Table S-13) will increase to $24.986 trillion by 2024.  The debt held by government accounts would be $6 trillion and the debt held by the public would be $18.986 trillion.  This would bring the debt to 69% of the GDP.

The total federal debt was $10.6 trillion when President Obama took office.

Not surprising, President Obama's budget never balances (Table S-1).  It spends more money than it takes in every single year adding $2.489 trillion in debt due to budget deficits of from 2015-2019 alone.

Democratic Congressman Matt Cartwright, said of this tax increasing, deficit producing, debt exploding budget:
"President Obama’s fiscal year 2015 budget request seeks to promote economic growth, make critical investments in our future, and responsibly reduces the deficit."
Unless Congressman Cartwright is looking at a different budget, it's hard to see how expanding the national debt, creating a budget deficit every year, and raising taxes by a trillion dollars will do anything but derail economic growth.  Characterizing a budget like this as responsibly doing anything is, well, irresponsible.

Democrat Cartwright is entitled to his opinion, but if that is what he really believes, he should introduce President Obama's budget as written and demand a vote on it putting every member of Congress on record.  The last time this was done, in 2012, not even Nancy Pelosi or Harry Reid would vote for President Obama's budget.

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