Obama’s Latest Budget: Massive Deficits

by Stephan Tawney on February 1, 2010

Hey, wasn’t this man talking about fiscal responsibility the other night? And didn’t he come to power at least partially by attacking the out-of-control spending policies of the Bush Administration? Yes, yes he did. And yet here we are.

WASHINGTON – President Barack Obama sent Congress a $3.83 trillion budget on Monday that would pour more money into the fight against high unemployment, boost taxes on the wealthy and freeze spending for a wide swath of government programs.

In other words, it’s more about punishing the successful than actually creating jobs. Because you don’t spur investment or increase demand by taking more money away from the investor and high-power purchasing class. You spur investment and increase demand by allowing people of all income brackets to keep more of their own money, which they usually proceed to spend or invest.

The deficit for this year would surge to a record-breaking $1.56 trillion, topping last year’s then unprecedented $1.41 trillion gap. The deficit would remain above $1 trillion in 2011 although the president proposed to institute a three-year budget freeze on a variety of programs outside of the military and homeland security as well as increasing taxes on energy producers and families making more than $250,000.

And of course those energy producers will simply take the financial hit and maintain their current prices. Oh no, wait, they’ll respond by increasing prices to consumers who are already struggling to pay their bills. The move will cost your average American family even more each and every month.

That on top of the additional debt the Obama Administration is passing on to your children. A $1.56 trillion deficit? It’s fiscal suicide for the United States. Obama insists the spending was necessary because he inherited a recession. That’s bull.

The $787 billion “stimulus” package did little-to-nothing to reverse the recession. Nor did most of the spending measures passed by Congress and signed by the president. We still have double-digit unemployment, falling home sales, and other aspects that prevent a true recovery. All at a cost of trillions of dollars.

Obama’s done his best over the past year to make George W. Bush look like a fiscal hawk. It appears the president intends to continue overhauling Mr. Bush’s image over the rest of his term as well.



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