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CBO Report: U.S. Deficit to Balloon
Newsmax ^ | 6/30/09

Posted on 06/30/2009 2:28:18 PM PDT by FromLori

Crushing government deficits loom, unless the Obama administration reins in its propensity to spend.

That was the cautionary statement from the Congressional Budget Office in its latest long-term budget forecast, reported recently in The Wall Street Journal Real Time Economics blog.

Government deficits will increase substantially, according to the CBO report, hitting more than 5.5 percent of Gross Domestic Product in 2035, 8 percent in 2050, and a whopping 19 percent in 2084.

As a consequence of these potentially crippling deficits, the government would have to borrow more money and wages would be depressed.

The obvious solution: The administration must put a lid on spending and boost taxes, according to the report.

Some Senate Democrats, many of whom are advocates of President Obama's comprehensive healthcare plan, have balked at rubber-stamping the proposed legislation.

"CBO's report shows that rising health costs remain the single biggest driver of the nation's long-term fiscal imbalance," Senate Budget Committee Chairman Kent Conrad (D-N.D.) said in a statement.

"And it reinforces the importance of not only paying for health reform, but ensuring that it significantly bends the cost curve on health care beyond the next ten years," Conrad said.

Other knowledgeable and responsible voices also have warned of the impending deficit disaster.

"For years, we've been warning that the budget was out of balance over the long-term and we should act while there was still time," said Maya McGuineas, president of the Committee for a Responsible Federal Budget.

"Well guess what? Time is quickly running out," McGuineas said.

(Excerpt) Read more at moneynews.newsmax.com ...


TOPICS: Government
KEYWORDS: deficit

1 posted on 06/30/2009 2:28:18 PM PDT by FromLori
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To: FromLori
Time for The One to appoint a CBO Czar.

We can't have this kind of dissent in the administration.

2 posted on 06/30/2009 2:30:51 PM PDT by TChris (There is no freedom without the possibility of failure.)
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To: FromLori

Leftists don’t care about this, because they are power drunk!


3 posted on 06/30/2009 2:35:48 PM PDT by johnthebaptistmoore (Conservatives obey the rules. Leftists cheat. Who probably has the political advantage?)
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To: FromLori

Other knowledgeable and responsible voices also have warned of the impending deficit disaster.
:::::::::
Those that want to destroy America are doing a pretty good job of it — and in Washington, they appear to be unopposed in any significant way. When will those that do care, call for the impeachment of those that are breaking laws daily??


4 posted on 06/30/2009 2:39:36 PM PDT by EagleUSA
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To: FromLori; All

Not Bush’s Fault..


5 posted on 06/30/2009 2:41:53 PM PDT by KevinDavis (Can't Stop the Signal!)
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To: FromLori
And then...'We'll Need to Raise Taxes'
6 posted on 06/30/2009 2:42:58 PM PDT by harpu ( "...it's better to be hated for who you are than loved for someone you're not!")
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To: FromLori
Must watch video: Two Trillion Bucks
7 posted on 06/30/2009 2:50:56 PM PDT by Zakeet (Obama: Always wrong, never in doubt.)
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To: FromLori
(Percentage of gross domestic product)

Factors Explaining Future Federal Spending on Medicare, Medicaid, and Social Security

8 posted on 06/30/2009 3:03:07 PM PDT by Oldeconomybuyer (The problem with socialism is that you eventually run out of other people's money.)
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To: FromLori

The solution is multi-faceted:

1. Require that EVERY spending bill cite the section of the US Constitution that authorizes the spending, and include directly linked details.
2. Terms limits on ALL elected officials: Two terms for president, one for Senators, three for Representatives.
3. All spending bills require 3/5’s majority for passage.
4. ALL departments, bureaus, agencies and offices of the US government undergo Constitutional review to determine the root of their authority. Those that cannot demonstrate Constitutional authority will be suspended immediately and disbanded over a period of 12 to 18 months, to transition staff and operations to State or local governments or private industry, as appropriate.
5. Require balanced budget by Constitutional amendment.
6. Grant line item veto to the President.
7. Scrap the Income Tax and the IRS in favor of a national consumption tax, with rate to be changed ONLY by 2/3’s majority of the House and Senate, and signature of the President.
8. Return election of Senators to the various State legislatures, as originally designed. The Senate should be the voice of the States at the Federal level. The House should be the voice of the People.


9 posted on 06/30/2009 3:05:31 PM PDT by PubliusMM (RKBA; a matter of fact, not opinion. 01-20-2013: Change we can look forward to.)
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To: PubliusMM

Even the press is laughing now...

http://www.liveleak.com/view?i=15b_1246393985


10 posted on 06/30/2009 3:08:26 PM PDT by FromLori (FromLori)
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To: PubliusMM

Good idea except I prefer the flat tax to a consumption tax. Russia’s is 13.7% I think, and it allowed them to get out of debt over time. They have the added benefit of using their natural resources. I wish we used ours!!!


11 posted on 06/30/2009 3:14:38 PM PDT by wbones8765 ("Give me liberty or give me death")
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To: Oldeconomybuyer

I’d be interested in seeing a similar chart detailing immigration. We’re certainly not bringing in the best or the brightest these days... Throw in a massive influx of foreign cultures who erode into even our best school districts, and well, it’s not going to be pretty.


12 posted on 06/30/2009 3:14:57 PM PDT by CaspersGh0sts
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To: CaspersGh0sts
Actually, judging from who is taking the science and engineering courses at the better universities, I would say we are getting many of the brightest, and they are (IQ wise) an improvement over many of the schlubs we have who were born here.

That being said, those folks are way outnumbered by those who come here from south of the Border. I have no problem with a guest worker program, but bringing in families and women to breed with is a problem.

13 posted on 06/30/2009 3:19:13 PM PDT by Clemenza (Remember our Korean War Veterans)
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To: SumProVita; HardStarboard; BradyLS; Ernest_at_the_Beach; dervish; Twotone; Free ThinkerNY; ...
The list, ping

Another fine post FromLori

14 posted on 06/30/2009 3:19:43 PM PDT by Nachum (The complete Obama list at www.nachumlist.com)
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To: Zakeet

to watch later


15 posted on 06/30/2009 4:15:32 PM PDT by lonestar (Obama is turning Bush's "mess" into a catastrophe.)
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