A deficit of deficit reporting...
The United States Budget deficit currently sits at $205 billion. That's less than half of what it was three years ago, when all the major news outlets were reporting that the deficit would continue to soar, spiraling our economy into a disastrous state. However, despite this turn of events, the mainstream media wants you to know that this is not really good news. Here's CBS:
After years of unrelenting deficits, Washington may be experiencing a break in its fiscal weather. Strong tax revenues mean that the 2007 shortfall between U.S. income and spending will be the smallest it has been since 2002, according to new White House estimates.Did I just hear CBS complaining about entitlements? But I digress. Here's the AP:
But these rays of progress may be fleeting, say some experts. Revenue growth is already slowing, and defense spending and huge entitlement programs such as Medicare continue to expand at a rapid clip.
The nation's budget deficit will drop to $205 billion in the fiscal year that ends in September, even as a worsening deficit picture for future years makes it more difficult for President Bush to meet his pledge of a surplus by 2012.No news will be good news while Bush is occupying la Casa Blanca, especially on the economic front. Has anyone else noticed the deafening silence as the Dow creeps up toward 14,000? Where is the unbridled economic cheer leading of the late '90s?
The deficits figures released Wednesday by the White House show red ink less than half of what it was at its peak in 2004. It's also a gain over the $244 billion that Bush predicted in February, but not as great an improvement as anticipated by other forecasters.
Nonetheless, the deficit picture remains worse than it was when Bush took office six years ago. Then, both White House and congressional forecasters projected cumulative surpluses of $5.6 trillion over the subsequent decade.
And the new figures Wednesday show that, instead of continuing to fall, the deficit next year will be on the rise again, to $258 billion.
2 comments:
We had a surplus back then, not a $200 million deficit...
When was the last time you were happy not making ends meet?
I would actually much rather have a deficit than a surplus. A surplus means that we've given the government so much of our money that even they, with their crack-like spending addiction, can't spend it all. Surpluses lead to more discretionary spending. You can bet that if politicians get their hands on money, they'll spend it. Deficits lead to belt-tightening and efficiency. As far as making ends meet, when I have that problem, I cut my spending. When the government has that problem, they take more of your money.
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