Budget deficit triples to $1.4 trillion, setting new record.

[HYENA 4]

We're China's ######. They have eminent domain over US territory.

We suck and will continue to do so through the next century.

[Mr. Big Dog 10,747]

What is the difference between the public debt and the deficit?

One way to think about the debt is as accumulated deficits.

Right. That's just what I said. You don't arrive at a debt of 10 trillion from a debt of 9 trillion with a 466 billion deficit. You arrive at a debt of 10 trillion from 9 trillion with a 1 trillion deficit. Hence, the deficit did NOT triple - it's 44% percent higher than last year rather than 300% higher. Quite a difference.

Interesting calculation here - the budget deficit triples to 1.4 trillion. Hence, we're saying that the deficit was 1/3 of said 1.4 trillion last FY, yes? That would be roughly 466 billion.

Now, the federal debt outstanding on 9/30/07 was 9 trillion dollars. On 9/30/08 - one year later after having run a 466 billion deficit - the outstanding debt should be 9.47 trillion dollars, right? Oddly, the outstanding debt on the latter date was 10 trillion dollars suggesting that that feds had a trillion dollars worth of red ink during the previous FY. Just saying...

[Hilarious Clinton 452]

$1.4 trillion just this year?

Worry not - the new health care plan will reduce it by $80 billion in 10 years!

We're f#cked.

[I AM NOT THAT GUY 5,715]

The deficit is "money in versus money out" (Unified Budget). The debt also includes money the US Government owes itself. So, if the "deficit" is 450 billion, but it "borrows" 550 billion from the various trust funds to cover spending, that would require an increase in the debt ceiling of a trillion dollars, if all the previous authorized debt already spent.

It is a misleading accounting system, but that's the rules.

[Mr. Big Dog 10,747]

The deficit is "money in versus money out" (Unified Budget). The debt also includes money the US Government owes itself. So, if the "deficit" is 450 billion, but it "borrows" 550 billion from the various trust funds to cover spending, that would require an increase in the debt ceiling of a trillion dollars, if all the previous authorized debt already spent.

It is a misleading accounting system, but that's the rules.

What was misleading was the off-budget spending that Bush and Co. practiced for most of his presidency. The reported budget deficit was always less than the actual deficit because Bush spent hundreds of billions of dollars off budget year after year. Again, you don't increase the debt by a trillion dollars within a year if all you run is less than half a trillion dollars worth a deficit regardless of what source actually funds that deficit.

[I AM NOT THAT GUY 5,715]

Senate must raise debt ceiling above $12T

The Senate must move legislation to raise the federal debt limit beyond $12.1 trillion by mid-October, a move viewed as necessary despite protests about the record levels of red ink.

The move will highlight the nation’s record debt, which has been central to Republican attacks against Democratic congressional leaders and President Barack Obama. The year’s deficit is expected to hit a record $1.6 trillion.

Democrats in control of Congress, including then-Sen. Obama (Ill.), blasted President George W. Bush for failing to contain spending when he oversaw increased deficits and raised the debt ceiling.

“Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren,” Obama said in a 2006 floor speech that preceded a Senate vote to extend the debt limit. “America has a debt problem and a failure of leadership.”

Obama later joined his Democratic colleagues in voting en bloc against raising the debt increase.

Now Obama is asking Congress to raise the debt ceiling, something lawmakers are almost certain to do despite misgivings about the federal debt. The ceiling already has been hiked three times in the past two years, and the House took action earlier this year to raise the ceiling to $13 trillion.

http://www.luxlibertas.com/obama-asks-sena...e-debt-ceiling/

There is your answer. The Debt will increase by $3 trillion this year, so far...

[Mr. Big Dog 10,747]

Senate must raise debt ceiling above $12T

The Senate must move legislation to raise the federal debt limit beyond $12.1 trillion by mid-October, a move viewed as necessary despite protests about the record levels of red ink.

The move will highlight the nation’s record debt, which has been central to Republican attacks against Democratic congressional leaders and President Barack Obama. The year’s deficit is expected to hit a record $1.6 trillion.

Democrats in control of Congress, including then-Sen. Obama (Ill.), blasted President George W. Bush for failing to contain spending when he oversaw increased deficits and raised the debt ceiling.

“Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren,” Obama said in a 2006 floor speech that preceded a Senate vote to extend the debt limit. “America has a debt problem and a failure of leadership.”

Obama later joined his Democratic colleagues in voting en bloc against raising the debt increase.

Now Obama is asking Congress to raise the debt ceiling, something lawmakers are almost certain to do despite misgivings about the federal debt. The ceiling already has been hiked three times in the past two years, and the House took action earlier this year to raise the ceiling to $13 trillion.

http://www.luxlibertas.com/obama-asks-sena...e-debt-ceiling/

There is your answer. The Debt will increase by $3 trillion this year, so far...

That's an odd argument. The debt will increase 3 trillion because the debt at the end of FY 2008 was a bit over 10 trillion dollars and we now raise the debt ceiling to 13 trillion? Is that where you get that 3 trillion figure from?

By that logic, the Bush administration increased the debt by over 2.3 trillion dollars in FY 2008. After all, the debt ceiling was just under 9 trillion in Sept 2007 and was last raised under the Bush administration to 11.3 trillion in early October, 2008. That would mean that Bush ran up a 2.3 trillion deficit for FY 2008? Is that what you're saying?

The debt ceiling is the government's credit limit not the actual debt.

Edited October 9, 2009 by Mr. Big Dog

[luckytxn 2,264]

$1.4 trillion just this year?

Worry not - the new health care plan will reduce it by $80 billion in 10 years!

We're f#cked.

For sure and this only the first year. Imagine the deficit by the time this Socialist finishes.

[Mr. Big Dog 10,747]

$1.4 trillion just this year?

Worry not - the new health care plan will reduce it by $80 billion in 10 years!

We're f#cked.

For sure and this only the first year. Imagine the deficit by the time this Socialist finishes.

I'll wager a bet that he won't double the debt like his predecessor did.

[mawilson 2,133]

$1.4 trillion just this year?

Worry not - the new health care plan will reduce it by $80 billion in 10 years!

We're f#cked.

For sure and this only the first year. Imagine the deficit by the time this Socialist finishes.

I'll wager a bet that he won't double the debt like his predecessor did.

I hope you're right, that's all I gotta say.

[I AM NOT THAT GUY 5,715]

$1.4 trillion just this year?

Worry not - the new health care plan will reduce it by $80 billion in 10 years!

We're f#cked.

For sure and this only the first year. Imagine the deficit by the time this Socialist finishes.

I'll wager a bet that he won't double the debt like his predecessor did.

Don't be too certain. $9 trillion dollars, and that is just his first budget.

National Debt Cap Will Need to Rise, Treasury Predicts

By Lori Montgomery

Congress will be forced to raise the legal limit on the nation's credit card sometime later this year, Treasury officials reported Wednesday, focusing additional attention on the expanding national debt just as lawmakers expect to be putting the finishing touches on President Obama's trillion-dollar overhaul of the nation's health care system.

The amount the government may borrow from the public, including foreign creditors, is limited by law to $12.1 trillion, a cap that has been raised several times since the nation slipped into recession in December 2007. Treasury officials predicted this week that they expect to borrow an additional $892 billion through the end of the year, driving the overall debt past the cap sometime in the fourth quarter.

"Given the uncertainty surrounding potential borrowing needs, Treasury will continue to keep Congress and financial market participants apprised of developments as the debt outstanding approaches the statutory limit," Treasury officials said in a written statement.

The debt is the accumulated borrowing necessary to finance years of annual budget deficits. This year, the deficit is on track to exceed $1.8 trillion, a postwar record compared with the size of the overall economy. Polls show concern is growing over the nation's spending habits, and that concern is already influencing the health care debate on Capitol Hill, where Republicans -- and some Democrats -- are questioning whether a nation so deeply in debt can afford an expensive new program to expand health care to the uninsured.

The need to raise the debt limit could also put additional pressure on 0bama to rein in other parts of his agenda: The Congressional Budget Office has projected that the policies laid out in 0bama's first budget would require an additional $9 trillion in borrowing over the next decade

http://voices.washingtonpost.com/capitol-b...apitol-briefing

Edited October 9, 2009 by Lone Ranger

[Mr. Big Dog 10,747]

$1.4 trillion just this year?

Worry not - the new health care plan will reduce it by $80 billion in 10 years!

We're f#cked.

For sure and this only the first year. Imagine the deficit by the time this Socialist finishes.

I'll wager a bet that he won't double the debt like his predecessor did.

Don't be too certain. $9 trillion dollars, and that is just his first budget.

National Debt Cap Will Need to Rise, Treasury Predicts

By Lori Montgomery

Congress will be forced to raise the legal limit on the nation's credit card sometime later this year, Treasury officials reported Wednesday, focusing additional attention on the expanding national debt just as lawmakers expect to be putting the finishing touches on President Obama's trillion-dollar overhaul of the nation's health care system.

The amount the government may borrow from the public, including foreign creditors, is limited by law to $12.1 trillion, a cap that has been raised several times since the nation slipped into recession in December 2007. Treasury officials predicted this week that they expect to borrow an additional $892 billion through the end of the year, driving the overall debt past the cap sometime in the fourth quarter.

"Given the uncertainty surrounding potential borrowing needs, Treasury will continue to keep Congress and financial market participants apprised of developments as the debt outstanding approaches the statutory limit," Treasury officials said in a written statement.

The debt is the accumulated borrowing necessary to finance years of annual budget deficits. This year, the deficit is on track to exceed $1.8 trillion, a postwar record compared with the size of the overall economy. Polls show concern is growing over the nation's spending habits, and that concern is already influencing the health care debate on Capitol Hill, where Republicans -- and some Democrats -- are questioning whether a nation so deeply in debt can afford an expensive new program to expand health care to the uninsured.

The need to raise the debt limit could also put additional pressure on 0bama to rein in other parts of his agenda: The Congressional Budget Office has projected that the policies laid out in 0bama's first budget would require an additional $9 trillion in borrowing over the next decade

http://voices.washingtonpost.com/capitol-b...apitol-briefing

9 trillion over the next decade. Obama cannot be in the White House for more than 8 years. He inherited a debt of 10 trillion. Do the math. Or let me do it for you: 0.9 trillion average per year over 8 years is 7.2 trillion. Hence, as it stands, I would be correct in saying that he won't double the debt as his predecessor did. Got it?

[I AM NOT THAT GUY 5,715]

$1.4 trillion just this year?

Worry not - the new health care plan will reduce it by $80 billion in 10 years!

We're f#cked.

For sure and this only the first year. Imagine the deficit by the time this Socialist finishes.

I'll wager a bet that he won't double the debt like his predecessor did.

Don't be too certain. $9 trillion dollars, and that is just his first budget.

National Debt Cap Will Need to Rise, Treasury Predicts

By Lori Montgomery

Congress will be forced to raise the legal limit on the nation's credit card sometime later this year, Treasury officials reported Wednesday, focusing additional attention on the expanding national debt just as lawmakers expect to be putting the finishing touches on President Obama's trillion-dollar overhaul of the nation's health care system.

The amount the government may borrow from the public, including foreign creditors, is limited by law to $12.1 trillion, a cap that has been raised several times since the nation slipped into recession in December 2007. Treasury officials predicted this week that they expect to borrow an additional $892 billion through the end of the year, driving the overall debt past the cap sometime in the fourth quarter.

"Given the uncertainty surrounding potential borrowing needs, Treasury will continue to keep Congress and financial market participants apprised of developments as the debt outstanding approaches the statutory limit," Treasury officials said in a written statement.

The debt is the accumulated borrowing necessary to finance years of annual budget deficits. This year, the deficit is on track to exceed $1.8 trillion, a postwar record compared with the size of the overall economy. Polls show concern is growing over the nation's spending habits, and that concern is already influencing the health care debate on Capitol Hill, where Republicans -- and some Democrats -- are questioning whether a nation so deeply in debt can afford an expensive new program to expand health care to the uninsured.

The need to raise the debt limit could also put additional pressure on 0bama to rein in other parts of his agenda: The Congressional Budget Office has projected that the policies laid out in 0bama's first budget would require an additional $9 trillion in borrowing over the next decade

http://voices.washingtonpost.com/capitol-b...apitol-briefing

9 trillion over the next decade. Obama cannot be in the White House for more than 8 years. He inherited a debt of 10 trillion. Do the math. Or let me do it for you: 0.9 trillion average per year over 8 years is 7.2 trillion. Hence, as it stands, I would be correct in saying that he won't double the debt as his predecessor did. Got it?

First budget my friend. Forget the averages, they generally let their budgets balloon in the out years, and take the benefits in the budget year. Normal accounting gimicks for both parties. That is one of the reasons why the spending and the budgets balloon, yet they can point to savings due to baseline accounting and 10-year budgets.

Don't forget the Democrats have been "controlling" the spending since 2007, when Reid and Pelosi took the reins. Most presidential budgets are dead on arrival, so blaming Bush, or Obama alone is just so much posturing over who gets to wash the dishes. Republicans didn't do much better, once Bush became president, although they did hold Clinton's feet to the fire.

No, as bad as the team of Hasterd-Lott-Dashle-Frist-Bush did, I am sure the team of Pelosi-Reid-Obama will eclipse them.

Edited October 10, 2009 by Lone Ranger

[Mr. Big Dog 10,747]

As I said, I'd put a wager on Obama not doubling the debt. The deficit projection for 2009 was 1.6 trillion and we came in at 1.4 trillion. Both bad numbers for sure but let us not forget that we're still struggling to get out of the worst recession since the 1930's. We will come out of the recession and the picture will start to look better. I have little to no doubt that this President will continue the Democrat's tradition of being better stewards of the federal coffers than the Republicans.

Almost the entire accumulation of the national debt since 1960, from $290 billion to more than $10 trillion, is the result of deficits under Republican presidents. Under Kennedy-Johnson and Carter, revenue growth matched spending growth. Under Clinton, as under Truman, spending grew much more slowly than revenues, erasing big budget deficits, and, under Clinton, turning them into big surpluses.

[HYENA 4]

I'm gonna have a woody when China exercises eminent domain and takes....California and Hawaii in lieu of payment for the money they loaned us. Amazing no one was in the streets about this.

Our government is.....so American