Obama finally admits 9 trillion deficit over ten years.

[Danno 1,228]

Some say Obama just got in office and all this debt is not "his" fault.

I on the otherhand do blame him because it is him and politicians just like him who dream up one money spending venture after the next, programs which we have no constitutional mandate to tax for.

Obama to raise 10-year deficit to $9 trillion

By Jeff Mason

WASHINGTON (Reuters) - The Obama administration will raise its 10-year budget deficit projection to approximately $9 trillion from $7.108 trillion in a report next week, a senior administration official told Reuters on Friday.

The higher deficit figure, based on updated economic data, brings the White House budget office into line with outside estimates and gives further fuel to President Barack Obama's opponents, who say his spending plans are too expensive in light of budget shortfalls.

The White House took heat for sticking with its $7.108 trillion forecast earlier this year after the Congressional Budget Office forecast that deficits between 2010 and 2019 would total $9.1 trillion.

"The new forecasts are based on new data that reflect how severe the economic downturn was in the late fall of last year and the winter of this year," said the administration official, who is familiar with the budget mid-session review that is slated to be released next week.

"Our budget projections are now in line with the spring and summer projections that the Congressional Budget Office put out."

The White House budget office will also lower its deficit forecast for this fiscal year, which ends September 30, to $1.58 trillion from $1.84 trillion next week after removing $250 billion set aside for bank bailouts.

Record-breaking deficits have raised concerns about America's ability to finance its debt and whether the United States can maintain its top-tier AAA credit rating.

Politically, the deficit has been an albatross for Obama, a Democrat who is pushing forward with plans to overhaul the U.S. healthcare industry -- an initiative that could cost up to $1 trillion over 10 years -- and other promises, including reforming education and how the country handles energy.

DEFICIT WORRIES

Republicans have pounced on Obama for planning to spend too much when deficits are so high, and the issue is likely to loom large in next year's Congressional elections.

Obama, who has promised to halve the deficit by the end of his four-year term and likes to remind constituents he inherited a $1.3 trillion deficit from former President George W. Bush, says bringing down healthcare costs is critical to long-term deficit reduction.

Treasury markets have been worried all year about the mounting deficit. The United States relies on large foreign buyers such as China and Japan to cheaply finance its debt, and they may demand higher interest rates if they begin to doubt that the government can control its deficits.

"It's one of those underlying pieces of news that is liable to haunt the bond market at some point in the future," said Kim Rupert, managing director of global fixed income analysis at Action Economics LLC in San Francisco, referring to the revised 10-year deficit projection.

Many economists think it is unlikely the government can curtail spending, which means taxes would have to go up to cover the rising costs of providing retirement and healthcare benefits to aging Americans.

Higher taxes, which could slow economic growth, are also a major concern of voters on both sides of the political divide. Obama has promised not to raise taxes on Americans making less than $250,000 a year.

(Additional reporting by Butron Frierson in New York; editing by Chris Wilson)

[Ban Hammer 13,491]

soon it will be cheaper to burn dollar bills to stay warm in the winter.

[Pinocchio Liberal 268]

The penny is already worth less than the copper its made out of.

[natty bumppo 297]

The penny is already worth less than the copper its made out of.

been that way for a while .... don't you have a stash of the good stuff?

you know the ones that are great for no-blow fuses?

[Otto 83]

The penny is already worth less than the copper its made out of.

Been that way for a long time now - yet whenever the subject of dropping the Penney comes up...guess what happens..?

(Plus we're apparently in love with the whole 'sham' of the $9.99 (or $.99) thing. Make it $10 and be done with it already...)

[natty bumppo 297]

wonder if the big O is gonna start digging up the WH lawn looking for mason jars?

[dalegg 143]

If we're going to cut the deficit to just a half trillion by 2012, then we must be spending some serious money in the next couple years! Wait..oh yeah.

[Hilarious Clinton 452]

Got gold?

[mawilson 2,133]

GDP today = 14 trillion

National debt today = 12 trillion = 86% of GDP

GDP in 2019 = 17 trillion (assuming consistent 2% growth)

National debt in 2019 = 21 trillion = 125% of GDP

We're fuсked.

[Pinocchio Liberal 268]

GDP today = 14 trillion

National debt today = 12 trillion = 86% of GDP

GDP in 2019 = 17 trillion (assuming consistent 2% growth)

National debt in 2019 = 21 trillion = 125% of GDP

We're fuсked.

Dude, cash for clunkers was a suckcess! Plus all the stimulus hasnt even kicked in yet. In my town theyre rebuilding a walking bridge which means jobs for about 3 months.

Jimmy Carter Jr.?

[spookyturtle 9,466]

GDP today = 14 trillion

National debt today = 12 trillion = 86% of GDP

GDP in 2019 = 17 trillion (assuming consistent 2% growth)

National debt in 2019 = 21 trillion = 125% of GDP

We're fuсked.

Dude, cash for clunkers was a suckcess! Plus all the stimulus hasnt even kicked in yet. In my town theyre rebuilding a walking bridge which means jobs for about 3 months.

Jimmy Carter Jr.?

I didn't realize that some of the stimulus money was going to Brazil.

[Pinocchio Liberal 268]

GDP today = 14 trillion

National debt today = 12 trillion = 86% of GDP

GDP in 2019 = 17 trillion (assuming consistent 2% growth)

National debt in 2019 = 21 trillion = 125% of GDP

We're fuсked.

Dude, cash for clunkers was a suckcess! Plus all the stimulus hasnt even kicked in yet. In my town theyre rebuilding a walking bridge which means jobs for about 3 months.

Jimmy Carter Jr.?

I didn't realize that some of the stimulus money was going to Brazil.

No stimulus went there, but 2 billion just went to petrobras the "state owned" oil company.

Yes, it’s true.

Barack Obama has chipped in $2 billion in loans to exploit offshore oil resources in hopes of extracting a major new source of petroleum…in South America.

And yes, it’s true.

There is a Soros link.

http://michellemalkin.com/2009/08/19/obama...uble-standards/

[dalegg 143]

GDP today = 14 trillion

National debt today = 12 trillion = 86% of GDP

GDP in 2019 = 17 trillion (assuming consistent 2% growth)

National debt in 2019 = 21 trillion = 125% of GDP

We're fuсked.

That's what inflation is for. Relax!

[luckytxn 2,265]

GDP today = 14 trillion

National debt today = 12 trillion = 86% of GDP

GDP in 2019 = 17 trillion (assuming consistent 2% growth)

National debt in 2019 = 21 trillion = 125% of GDP

We're fuсked.

That's what inflation is for. Relax!

Cheap dollars is good.

[mawilson 2,133]

GDP today = 14 trillion

National debt today = 12 trillion = 86% of GDP

GDP in 2019 = 17 trillion (assuming consistent 2% growth)

National debt in 2019 = 21 trillion = 125% of GDP

We're fuсked.

That's what inflation is for. Relax!

Cheap dollars is good.

Yeah - great for your savings!

You worked hard for years and saved $20,000... and poof! your savings are now worth $10,000!