[Two Bills]

Deficit? What Deficit?
It is called Advanced Accounting.
A system where you spend what you don't have, then borrow to pay it back!
Cant go wrong. Can it?

[Bucco]

Does all this mean we will not be balancing the budget or reducing the deficit "rather easily" ? Go figure

[dewilson58]

[jebartle]

waiting for the "p" word, only a matter of time!!!

[dewilson58]

Originally Posted by jebartle

waiting for the "p" word, only a matter of time!!!

"Popcorn" ???

[blueash]

The last three times there was a balanced budget, and in fact the Fed gov't took in more than it spent were the last 3 years of Clinton's administration. Because of the success of his economic policies and that those policies had begun to reduce the Federal deficit, the next administration decided that taxes should be dramatically reduced, promising of course that tax cuts paid for themselves. The Heritage Foundation, an influential conservative think tank, predicted that the Bush tax cuts would eliminate the National Debt by 2010. Instead the National Debt doubled. The tax cuts were not the only factor but were a significant factor.

This failure of tax cuts to pay for themselves was a repeat of the failure of the tax cuts enacted in the early1980's to pay for themselves. The failure was recognized by the enactment of tax increases by Reagan in 82, 83, 84 and 87 and by HW Bush in 90 and finally by Clinton in 93. While tax policy is just a small part of the overall economic health of the country, it is a large part of the federal deficit and debt.

In 2017 the present administration passed another significant tax cut, promising it would stimulate the economy thus producing increased tax revenue and reduce the deficit.

Now whether we need to be worried about debt and deficit is controversial. Some would argue that in this period of very low interest rates, it would be an excellent time for the Federal gov't to borrow to invest in our infrastructure.. roads, bridges, etc. Better to borrow the money needed at a low rate as it certainly is going to be needed to be borrowed and the work done.
Some might instead say.. let us raise taxes and use that increase to repair our decayed infrastructure. Pay as we go. We need about 2 trillion dollars!

[Viperguy]

According to this chart, revenue actually went up the past two years but spending was way up. And they want to increase it! We really have a problem with FREEBES.
Federal Receipt and Outlay Summary | Tax Policy Center

[blueash]

Originally Posted by cgilcreast

According to this chart, revenue actually went up the past two years but spending was way up. And they want to increase it! We really have a problem with FREEBES.
Federal Receipt and Outlay Summary | Tax Policy Center

Perhaps you could add more data to your post and tell me what FREEBES you believe create the increase in spending or the national debt? And I'd like to see specific numbers and specific programs you'd reduce or eliminate. Social security which most of us here receive is the largest cost to the Federal gov't, and next is Medicare, again which most of us get. We could get real savings by cutting those programs.

After all when we paid into Medicare there were very few of the life extending procedures and drugs which the program now is expected to pay. So the amount we paid in was totally inadequate to cover the benefit we are getting. We are getting a HUGE Freebe. Wait until there is an anti-Alzheimer drug approved. It is coming. And say it is 1000/mo and every senior wants it, every month, for the rest of their life. You didn't pay for that benefit. Do you deserve it or is it a FREEBE? Or that heart transplant from a new heart grown from your own stem cells at 500,000 dollars, to give you a few more years of life? Or is that a FREEBE?

So please come back and tell me what exactly you want to cut. Keep in mind that the Federal gov't spent 0.4 trillion on Welfare in 2018, and spent a greater percent of GDP in almost every year since 1970 than it did in 2018

[Bucco]

Originally Posted by cgilcreast

According to this chart, revenue actually went up the past two years but spending was way up. And they want to increase it! We really have a problem with FREEBES.
Federal Receipt and Outlay Summary | Tax Policy Center

I see nothing in this link about "freebies" at all. I know the military spending has increased 150 Billion in the last few years.

Some who publicily were distressed about deficit spending to such a degree over the year have become silent on the subject.

Keep an eye on inflation. When that, if it does, begins to go up...then worry a lot about the deficit.

[retiredguy123]

Originally Posted by blueash

Perhaps you could add more data to your post and tell me what FREEBES you believe create the increase in spending or the national debt? And I'd like to see specific numbers and specific programs you'd reduce or eliminate. Social security which most of us here receive is the largest cost to the Federal gov't, and next is Medicare, again which most of us get. We could get real savings by cutting those programs.

After all when we paid into Medicare there were very few of the life extending procedures and drugs which the program now is expected to pay. So the amount we paid in was totally inadequate to cover the benefit we are getting. We are getting a HUGE Freebe. Wait until there is an anti-Alzheimer drug approved. It is coming. And say it is 1000/mo and every senior wants it, every month, for the rest of their life. You didn't pay for that benefit. Do you deserve it or is it a FREEBE? Or that heart transplant from a new heart grown from your own stem cells at 500,000 dollars, to give you a few more years of life? Or is that a FREEBE?

So please come back and tell me what exactly you want to cut. Keep in mind that the Federal gov't spent 0.4 trillion on Welfare in 2018, and spent a greater percent of GDP in almost every year since 1970 than it did in 2018

Wow! There are so many that I couldn't list them all. Here are two. Cut the number of Federal employees and their salaries and benefits. Federal employees make so much more money for less work than other workers that it is embarrassing. And, cut out the risky student loans. So far, the student loan debt is 1.6 trillion dollars, and it doesn't appear that these loans will be paid back. But, the Government keeps shelling them out and colleges keep raising prices to spend that money. Totally unnecessary.

[jebartle]

Originally Posted by dewilson58

"Popcorn" ???

Giggle, snort!

[JimJohnson]

One sure fact is it has gotten worse in the last two years. We need to get back the way things were headed in the previous 8 years.

[billethkid]

Originally Posted by JimJohnson

One sure fact is it has gotten worse in the last two years. We need to get back the way things were headed in the previous 8 years.

[Nucky]

OP'S Question: Is anyone concerned about the federal deficit?

Would being concerned change anything? If being concerned helps, then mark us down as concerned.

All the rest of the info is NOTHING but

[Bucco]

Originally Posted by Nucky

OP'S Question: Is anyone concerned about the federal deficit?

Would being concerned change anything? If being concerned helps, then mark us down as concerned.

All the rest of the info is NOTHING but

I believe that economic growth, or lack therof will be very important in the next year or so, thus being concerned and informed WILL change quite a bit perhaps, thus discussions on this subject are never fruitless.

Haven't read many economic theories that did not inform me, but then again, I really care a lot.....children and grandchildren are important.....they will live with whatever.