The Incredible Shrinking Deficit

[Oldguy]

The Congressional Budget Office (CBO) is now estimating this years deficit will end up at $642 billion, or 4% of the GDP. That would be the lowest level of annual deficit since the recession started.

There are several reasons which you can see here:

The Mystery of the Incredible Shrinking Budget Deficit | TIME.com

The bottom line is that the huge deficits we've seen in recent years were driven by the recession. Lower tax revenue, plus recession related spending, equaled big deficits...just as everyone but the Republican's have been saying all along.

 

[Old Rocks]

That is why the stink on Benghazi and the IRS scandal under a Bush appointee. The 'Conservatives' really need something to point to, since all their economic predictions have been totally shown to be shit. Unemployment stats slowly declining. Home prices coming back. Market doing great. And the nations in Europe that tried the austerity that the GOP was so heartily reccomending doing poorly while we continue to improve, really makes the predictions of GOP look silly.

 

[PredFan]

The Congressional Budget Office (CBO) is now estimating this years deficit will end up at $642 billion, or 4% of the GDP. That would be the lowest level of annual deficit since the recession started.

There are several reasons which you can see here:

The Mystery of the Incredible Shrinking Budget Deficit | TIME.com

The bottom line is that the huge deficits we've seen in recent years were driven by the recession. Lower tax revenue, plus recession related spending, equaled big deficits...just as everyone but the Republican's have been saying all along.

Great! We're going into the crapper at a little slower rate, good job obama!

 

[PredFan]

That is why the stink on Benghazi and the IRS scandal under a Bush appointee. The 'Conservatives' really need something to point to, since all their economic predictions have been totally shown to be shit. Unemployment stats slowly declining. Home prices coming back. Market doing great. And the nations in Europe that tried the austerity that the GOP was so heartily reccomending doing poorly while we continue to improve, really makes the predictions of GOP look silly.

Hey dumbass:

The stink on Benghazi is because 4 people died, obama lied, and his administration tried to cover it up.

The IRS does what obama wants it to do, doesn't matter who appointed him originally.

All of our predictions on the economy have been shown to be correct.

Unemployment is down because of the flawed way the government tallies it.

Home prices are coming back because of the ebb and flow of the market and they would have come back sooner except for obama's meddling.

The Market is doing great because the Fed is printing 85 billion dollars and feeding it into the market every month.

The nations that tried austerity did it because they were already doing poorly.

You sure aren't too bright are you?

 

[waltky]

Well, it ain't a decrease - but at least it ain't an increase...

Treasury Ran $98 Billion Deficit in July--But Debt Stayed Exactly $16,699,396,000,000
August 14, 2013 -- The Treasury Department's Financial Management Service (FMS), which publishes both the federal government's official Daily Treasury Statement and its official Monthly Treasury Statement, is reporting that in July the federal government ran a deficit of $98 billion but that the federal government's debt remained exactly $16,699,396,000,000 for the entire month.

The FMS said that the deficit went up $98 billion ($97,594,000,000) in the Monthly Treasury Statment for July, which it released on Monday. At the same time, the FMS said the debt stayed at exactly $16,699,396,000,000 in its Daily Treasury Statements, which are published every business day. The Daily Treasury Statements show the daily value of the federal government debt that is subject to a legal limit set by Congress. At the static $16,699,396,000,000 level that the Treasury reported for every day of July, the debt was just $25 million below the legal limit of $16,699,421,000,000 that was set in a law passed by Congress and signed by President Barack Obama.

If Treasury's daily statements were to declare that the government had borrowed an additional net $98 billion to cover the $98 billion deficit the Treasury declared in its monthly statement for July, the Treasury would be conceding that the government had already surpassed the legal limit on the debt--and has been violating the law by continuing to borrowing additional money. Instead, even as the Treasury was running up the $98-billion deficit it reported in the July Monthly Treasury Statement, every one of the 22 Daily Treasury Statements published for July said the Treasury had closed out the previous business day with exactly $16,699,396,000,000 in debt.

The Daily Treasury Statement for Aug. 12, released Tuesday afternoon, says the debt remained stuck at exactly $16,699,396,000,000 during the first 12 days of this month, too. On May 17, the first day the Treasury reported that the debt had hit exactly $16,699,396,000,000--and was thus just $25 million below the legal limit--Treasury Secretary Lew sent a letter to House Speaker John Boehner saying he was beginning to implement what he called "the standard set of extraordinary measures" to prevent the Treasury from exceeding the legal limit on the federal debt.

Since Lew sent that letter--announcing that he would use "extraordinary measures"--the debt has remained stuck at exactly $16,699,396,000,000 for 87 straight days. That includes all 31 days in July when Lew's Treasury says it was running a $98 billion deficit. When Lew stops using "extraordinary measures" to keep the debt at exactly $16,699,396,000,000, the government will have another debt-limit crisis.

- See more at: Treasury Ran $98 Billion Deficit in July--But Debt Stayed Exactly $16,699,396,000,000 | CNS News

 

[Mac1958]

.

So does this mean the sequester was/is a good thing?

.

 

[Sallow]

.

So does this mean the sequester was/is a good thing?

.

Well no.

Which is why Republicans don't want to own their shit.

Boehner: I got 98 percent of what I wanted - CBS News

 

[billyerock1991]

That is why the stink on Benghazi and the IRS scandal under a Bush appointee. The 'Conservatives' really need something to point to, since all their economic predictions have been totally shown to be shit. Unemployment stats slowly declining. Home prices coming back. Market doing great. And the nations in Europe that tried the austerity that the GOP was so heartily reccomending doing poorly while we continue to improve, really makes the predictions of GOP look silly.

that's what even funnier ... Daryl Issa tried his damndest to make somethin out of Benghazi and the IRS a scandal after all that's said and done, he and the rest pf the repub-lie-tards fell flat on their faces

 

[Geaux4it]

Higher tax revenues and other smoke and mirrors. The CBO actually predicts deficits to rise starting 2014. Other condsiderations here

-Geaux

10 Takeaways from the Latest CBO Budget Projections - Reason.com

Yesterday, the Congressional Budget Office (CBO)—the nonpartisan budget scorekeeper for Congress—released its updated budget projections for the next decade. This year’s deficit projections are down dramatically. So is the federal budget suddenly in good shape? Far from it. In fact, debt levels are expected to remain unusually high for the foreseeable future

 

[billyerock1991]

That is why the stink on Benghazi and the IRS scandal under a Bush appointee. The 'Conservatives' really need something to point to, since all their economic predictions have been totally shown to be shit. Unemployment stats slowly declining. Home prices coming back. Market doing great. And the nations in Europe that tried the austerity that the GOP was so heartily reccomending doing poorly while we continue to improve, really makes the predictions of GOP look silly.

Hey dumbass:

The stink on Benghazi is because 4 people died, obama lied, and his administration tried to cover it up.
and you have a source for you story here ???? didn't think so

The IRS does what obama wants it to do, doesn't matter who appointed him originally.

again you have a source for your story here ???? didn't think so

All of our predictions on the economy have been shown to be correct.

now that's a general statement here ... what predictions are you talking about ???? or is this another one of the repub-lie-tards made up lie they needed to come up with

Unemployment is down because of the flawed way the government tallies it.

and you do have a source for you accusation here don't ya ???? didn't think so

Home prices are coming back because of the ebb and flow of the market and they would have come back sooner except for obama's meddling.

again do you have a source here about his meddling ???? didn't think so ...

The Market is doing great because the Fed is printing 85 billion dollars and feeding it into the market every month.

i believe you know the question here right ???? in case you don't , ya got a source for you'r accusation here ???? didn't think so

The nations that tried austerity did it because they were already doing poorly.

You sure aren't too bright are you?

I think it is you who has quite a bit of dullness going on in your ability to respond ...

 

[billyerock1991]

.

So does this mean the sequester was/is a good thing?

.

Well no.

Which is why Republicans don't want to own their shit.

Boehner: I got 98 percent of what I wanted - CBS News

MAC doesn't realize that the sequester is in total operation.... there's just been a few things shut down.... when the pentagon gets hit there will be a lot of squealing from ass clowns Mac ... you watch ...

 

[mudwhistle]

The Congressional Budget Office (CBO) is now estimating this years deficit will end up at $642 billion, or 4% of the GDP. That would be the lowest level of annual deficit since the recession started.

There are several reasons which you can see here:

The Mystery of the Incredible Shrinking Budget Deficit | TIME.com

The bottom line is that the huge deficits we've seen in recent years were driven by the recession. Lower tax revenue, plus recession related spending, equaled big deficits...just as everyone but the Republican's have been saying all along.

It doesn't hurt that we just had a $600 billion tax increase and the fact that Obama has been overcharging us for everything by raising excise taxes for just about everything we buy.

Yup, our incomes are ether stagnating or going down and yet your costs are continuing to rise. Meanwhile Obama is golfing again......

[ame=http://www.youtube.com/watch?v=i2-S7BBBkqE&list=PLd_cklG4-qJqnIA7QrfBIZ2na3xdhVbUP]NewsBusted 8/13/13 - YouTube[/ame]

 

[Claudette]

Will be interesting to see what happens when the Fed stops dumping money, unbacked money, into the system.

 

[Seawytch]

But ask any tea bagger if the deficit is lower or higher under Obama...I bet we know what they'll say.

 

[theHawk]

I don't see why we should be celebrating a huge debt. Yes, the yearly national deficit isn't as big as it used to be, but it is still a deficit. We'll start getting excited when we get year after year of surplusses, and actually start to lower our national debt.

It should be noted also that the only reason we've put a dent into the yearly deficit is beacuse of House Republicans. If dems had their way things would be much, much worse.

 

[mudwhistle]

But ask any tea bagger if the deficit is lower or higher under Obama...I bet we know what they'll say.

Tea Baggers are people that suck on someone's ball-sack. They need to ask only ball suckers what they think for your statement to be relevant.

And the primary reason that the deficit is lower isn't because Obama knows how to be thrifty.

The House was taken over by the GOP in 2011 and all spending begins in the House. Obama has been spending money in other ways by going around the Treasury. So, the deficit isn't an accurate gauge of the actual spending that is going on.

 

[deltex1]

The Congressional Budget Office (CBO) is now estimating this years deficit will end up at $642 billion, or 4% of the GDP. That would be the lowest level of annual deficit since the recession started.

There are several reasons which you can see here:

The Mystery of the Incredible Shrinking Budget Deficit | TIME.com

The bottom line is that the huge deficits we've seen in recent years were driven by the recession. Lower tax revenue, plus recession related spending, equaled big deficits...just as everyone but the Republican's have been saying all along.

Obabble took the battery out of the debt clock...simple as dat.

 

[NightFox]

The Congressional Budget Office (CBO) is now estimating this years deficit will end up at $642 billion, or 4% of the GDP. That would be the lowest level of annual deficit since the recession started.

There are several reasons which you can see here:

The Mystery of the Incredible Shrinking Budget Deficit | TIME.com

The bottom line is that the huge deficits we've seen in recent years were driven by the recession. Lower tax revenue, plus recession related spending, equaled big deficits...just as everyone but the Republican's have been saying all along.

Let me guess, you just read the headline and didn't bother to read the underlying CBO report?

Let's take a look at a few of the highlights from the CBO (aka Garbage in, Garbage out Inc.) Report:

"The decline in the projected deficit for 2013 stems largely from a boost in estimated revenues as well as from expected payments to the Treasury by Fannie Mae and
Freddie Mac."

In other words one time pay backs for loans that were made off budget in previous years. Deficit never took the hit from these in the first place but let's count 'em against the deficit when they're paid back.... government accounting at it's finest.

CBO has raised its revenue projections by $105 billion (or about 4 percent) for 2013 and by $95 billion (or 0.2 percent) for the following 10 years (see Table 6 on
page 17). Those increases stem primarily from higher-than-expected collections of individual and corporate income taxes this year. CBO believes that the causes of
the higher collections are largely temporary, so it has increased projected revenues in subsequent years by much smaller amounts

Speaks for itself, no improvement in the structural deficit picture.

Receipts from individual income taxes this year are now estimated to be $69 billion (or 5 percent) higher than CBO anticipated in February. The higher-than-expected collections mainly represent amounts that were paid with income tax filings in April 2013. Although the specific reasons for the added collections will not be known until detailed information from tax returns becomes available over the next year, the unexpected payments probably reflect higher taxable income in 2012, in part because higher-income taxpayers realized more income than CBO expected in anticipation of increased tax rates for tax year 2013. CBO expects that taxable personal income will revert to its historical level relative to GDP in coming years.

Let's pull some revenue from CY 2012 and count it against the CY 2013 deficit, after all the ugly deficit in CY 2012 is water under the bridge, cash-in, cash-out accounting .....

CBO has raised it's estimates of corporate tax receiptsin 2013 by $40 billion (or 16 percent). Those collections reflect tax liabilites from 2012 and 2013.

More cash-in, cash-out accounting legerdemain .....

CBO has reduced its projection of net inter-est costs over the 2014–2023 period by $193 billion.Most of that decrease ($173 billion) is attributable to lower projected debt-service costs as a result of smaller deficits. The remaining $20 billion stems mainly from
modifications to CBO’s assumptions about the mix of securities that the Treasury is expected to issue to finance future deficits.

Ahh yes .. another example of CBO WAG (wild ass guess) accounting that the CBO is famous for.

There's another $640 billion in there (so far this CY) that are off-budget outlays (not counted toward the deficit and an increase of $132 billion over 2012) and if one just does a little quick math on the CBO projections on the differential between 2012 and 2013 of debt held by the public, the number is +$755 billion not +$642 billion, so the headline number is misleading to say the least.

 

[editec]

If the government can pump NEW money into the economy at will?

Would most of us agree that the money is then fiat?

I mean you guys bitch about that problem all the time, right? Fiat dollars?

Well then take the next logical leap and ask youRselves this question.


IF THE DOLLAR IS NOTHING BUT MEANINGLESS FIAT FAKERY, THEN HOW REAL CAN THE DEBTS COMPUTED IN THOSE DOLLARS BE?

 

[TakeAStepBack]

If the government can pump NEW money into the economy at will?

Would most of us agree that the money is then fiat?

I mean you guys bitch about that problem all the time, right? Fiat dollars?

Well then take the next logical leap and ask youRselves this question.


IF THE DOLLAR IS NOTHING BUT MEANINGLESS FIAT FAKERY, THEN HOW REAL CAN THE DEBTS COMPUTED IN THOSE DOLLARS BE?

It is as real as the actual amount of real wealth fiat money destroys as we race to the bottom. See, that's the REAL problem with central planners and their printing press on legal tender. As they print, they first confiscate wealth through diminished purchasing power, inflation and redistribution schemes. But that's not all, once the shit house starts to burn down, they will use protectionist measures to secure themselves and pay their creditors. This will happen here too. They may decide another confiscation of gold is in order (a true stroe of wealth), or several other measures. But in the end, this policy will gobble up all the real wealth as it goes down in flames.

Too late to do anything about it now.