(Leftist Axios remains convinced that Joe Biden is a genius)
Posted on 09/06/2023 5:59:04 AM PDT by Red Badger
The federal deficit is expected to nearly double this year, from about $1 trillion last year to $2 trillion for the fiscal year ending Sept. 30
Why it matters: There's no precedent for deficits this large, as a share of the economy — outside war, deep recession or pandemic.
The WashPost's Jeff Stein reported Sunday on the stunning projected figure from the Committee for a Responsible Federal Budget. Between the lines: Such huge spending imbalances contribute to high interest rates for consumers — including mortgages — in the short run.
In the long run, it means interest costs will likely squeeze all other federal priorities. What's happening: Bigger interest payments + lower tax receipts, despite strong economic growth.
"A strong economy usually reduces the deficit. Not this time," Stein writes. Reality check: The annual deficit was even higher — $2.8 trillion — in 2021, amid record COVID spending, according to the Congressional Budget Office.
Go deeper: White House urges Congress to avoid shutdown with short-term funding bill
Spending increases by 16%, revenue by 7%. And the media wonders why we have deficits!
“Unexpectedly”, I think that word doesn’t mean what you think it means.
Gas is $5.59 a gallon here in Los Angeles and will hit $6 soon. Some economists project $300 a barrel for oil at some point.
Interesting to note that some years ago (2008?) when oil hit $147, gas here was only $4.59. Oil is still below $90 but gas is $5.59?! Well, there’s inflation to consider.
Life is very rough here for what remains of the middle class. Food, energy, rents, utilities, all skyrocketing and incomes flat. Credit card debt through the roof, personal loans at 50% or more interest...the beatdown continues.
Watch the stock markets spike upward on the news. SMFH!
This will only get worse over the next couple of years, there won’t be a quick or easy fix.
You will some bumps along the way and the MSM will heap accolades on the Biden Administration for keeping the economy out of a recession. I predict this will happen about this time next year, right before the election.
In the end, this was inevitable, the only question is how bad it will get and what will the liberals do about it, I include many Republicans as well.
Nobody will be spared but the Blue States are really going to get hammered.
Something doesn’t double unexpectedly. Unless the people looking are willfully blind to the issue.
We are right at $33 trillion in debt and headed within 4 years well past $45 trillion. At current and rising interest rates, kiss your country goodbye. There is no way to pay even the interest on that debt at over $2-4 trillion per year just in interest payments.
Ironically, I’m listening to Pink Floyd’s “MONEY” on the speakers...........................
“…unexpectedly…”? I like that!
Was it unexpected when Congress lifted the debt ceiling and didn’t think that Biden would spend like a drunken sailor?
“Unexpectedly”: The favorite word of “experts” — particularly of “tepid experts”, which most self-anointed “experts” are.
The looting of America is accelerating
Its like George Floyd protestors trying to grab as much as possible from a burning Target, before it all collapses.
More like tepid recovery
That surprises me. I thought it would triple on what has been sent to Ukraine alone. For it only to double, they must have done some creative accounting.
Indeed it’s much closer then people think.
I have one of those! I’m a trillionaire!
Drink!
I can only think of a handful of Republicans willing to do what needs to be done. We are screwed
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