02.15.2011 0

How Much New Debt is Being Proposed By Obama?

The Debt Star

The amount of new debt proposed by the new Obama budget released yesterday is larger than the total amount of debt accumulated by the federal government from 1789 until January 20, 2009.

Let that sink in for just a moment before reading any further.

The Republican Study Committee has released a brief on the matter, which is full of good facts and info on what Obama’s budget is really all about:

Yesterday, February 14, 2011, the President submitted his budget request for FY 2011-2021 which proposes: $8.9 trillion of new deficit spending, a tripling of the public debt, and $1.6 trillion worth of tax increases over the period covering the budget submission. The following is intended to put the deficit, debt, spending, and tax figures in perspective.

Third and Fourth Trillion-Dollar Deficits in a Row: The President’s budget proposes a $1.65 trillion deficit in FY 2011, and then a $1.1 trillion deficit in FY 2012. This follows a $1.29 trillion deficit in FY 2010, a record-breaking $1.41 trillion deficit in FY 2009, which followed a then record-breaking $459 billion deficit in FY 2008.

28.0% Spending Increase Since 2008: Federal spending has increased from $2.98 trillion in FY 2008 to a proposed $3.82 trillion in FY 2011. This is an increase of $836 billion or 28.0%.

Annual Deficits Turn Into Monthly Deficits: In the four years of budgets under the control of a Democrat Congress (FY 08-11), deficit spending will amount to $4.8 trillion. By contrast, it took twelve years (FY 96-07) for the previous Republican Congress to create total deficits of $1.2 trillion. The annual deficits under the previous Republican Congress (FY 96-07) became monthly deficits under the Democrat Congress (FY 08-11).

Annual Deficits Turn Into Monthly Deficits: In the four years of budgets under the control of a Democrat Congress (FY 08-11), deficit spending will amount to $4.8 trillion. By contrast, it took twelve years (FY 96-07) for the previous Republican Congress to create total deficits of $1.2 trillion. The annual deficits under the previous Republican Congress (FY 96-07) became monthly deficits under the Democrat Congress (FY 08-11).

Democrat Congress Record on Deficits—From Projected $800 Billion Surplus to $9.2 Trillion Deficits: The same month Democrats took control of Congress (January 2007), CBO projected an $800 billion surplus over the ten-year period FY2008-2017. Today, covering the same period—including the actual deficits from FY 2008-2010—as well as what the President proposes in his budget for fiscal years 2011 through 2017, that $800 billion surplus turns into a $9.2 trillion deficit. This is a $10 trillion worsening of the budget outlook in four years of Democrat control of the Congress. This is the budget picture the 112th Congress inherits.

Read the entire brief. It’s full of good information (well, it’s actually bad news, but good to know).

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