CBO: Deficit projected to be 27% greater than previously expected, largely due to vote-buying loan ‘forgiveness’ and Zelensky’s allowance

American Thinker ^ | 06/20/2024 | Olivia Murray

[SeekAndFind]

here’s a new report out by the Congressional Budget Office with an updated projection of the federal deficit for the 2024 fiscal year—in February, the office calculated we as a nation would be an additional $1.5 trillion in the red, but now that number has jumped 27% to $1.9 trillion, or a additional $400 billion.

The CBO report identified several factors impacting this increase, with Cadaver Joe’s vote-buying student loan “forgiveness” scheme accounting for the “largest” portion of it. Here are the details, from a CNN report:

Most of the spike in the fiscal 2024 deficit stems from four factors that are expected to boost projected spending. The largest is a $145 billion increase due to changes the Biden administration made to student loan repayment plans and a new, proposed forgiveness program that would waive some accrued interest for millions of borrowers. The latter has yet to be finalized but could take effect as soon as this fall.

According to Robert Schmad at The Daily Caller though, the CBO projection is based on only half of the actual anticipated cost, because this phase of the “forgiveness” scheme has yet to be finalized, and if it’s permitted to materialize entirely, the deficit will jump another $66 billion:

To account for Biden’s April proposal to forgive student loan debt, the CBO incorporated $66 billion worth of costs into its projection, half of the estimated $132 billion cost of the program. The CBO only used half the cost of the program to control for the possibility of the rule providing debt forgiveness not being finalized. If the Biden administration succeeds in finalizing the rule, the CBO’s projection will increase by another $66 billion.

Are you interested in seeing who you’ve already sponsored?

[Bob434]

weird because i thought that throwing 10’s of billions away would pay off the deficit- /s

[eyeamok]

Come on man, we can print all the money we need... nothing to worry about

[SeekAndFind]

RE: nothing to worry about

Yep, except INFLATION.

[Grampa Dave]

Reality re our economy!:

https://brownstone.org/articles/the-3-drivers-of-us-consumers-hit-a-wall/

[cymbeline]

Trump needs to tone down his criticism of Biden the irrelevant person and tone up his criticism where our government is leading us.

Earlier today an article was posted on homeowners that, to put it simply, borrowed too much. Our government is doing that, but those responsible for the borrowing, unlike the homeowners, know that they will escape blame as wealthy people.

[thegagline]

[1Old Pro]

Debt increase in the abstract is meaningless. Debt as a percentage of GDP is better. In other words if my debt goes from $1 to $10 up 100%, does it matter if I earn $1/ year or $10/ year or $10000 per year, yes it does.

[thegagline]

As you wish

[Trumpisourlastchance]

The GOP did that.

[SeekAndFind]

You mean had the House been under Democrat control, our finances would have been much better?

Did the GOP approve of Biden’s student loan forgiveness?

[SeekAndFind]

From the chart (assuming it’s accurate ), it looks like the debt to GDP WENT UP under Trump, and is on its way DOWN under Biden.

In fact, the debt to GDP was LOWER under Clinton and went UP significantly under GW Bush ( from the chart ). And you’d think the GOP was the party of fiscal responsibility. Go figure.