Archive for the ‘Tax cuts’ Category

HOW PROJECTED SURPLUSES BECAME DEFICITS:

September 28, 2008

September 12, 2008

HOW PROJECTED SURPLUSES BECAME DEFICITS:
Main Causes Were Tax Cuts and Higher Security Spending
By Richard Kogan and Gillian Brunet

The federal budget is projected to run a $546 billion deficit in 2009, compared with the $710 billion surplus that budget experts projected for 2009 back when President Bush took office nearly eight years ago.  This $1.3 trillion deterioration in the nation’s fiscal finances for 2009 can be seen by comparing estimates that the Congressional Budget Office (CBO) released this week with those that CBO released in January 2001.

The story is much the same for the entire ten-year period covered by CBO’s 2001 projection.  In January 2001, CBO projected a cumulative $5.6 trillion surplus for 2002-2011.  Now, CBO’s new report suggests the nation will amass a cumulative deficit of $3.8 trillion over that same period, marking a $9.4 trillion deterioration.

For both 2009 and the ten-year period, this massive deterioration is partly due to weaker-than-expected performance of the economy, along with other “technical” factors that are beyond policymakers’ control.  But these economic and technical factors account for less than one-fourth of the fiscal deterioration for each period, and they are not responsible for the return of deficits.  Even given the disappointing performance of the economy since 2001 relative to CBO’s earlier projections, there would have been large surpluses in every year — totaling $3.4 trillion over the 2002-2011 period — if policymakers had enacted no tax cuts or program increases since 2001.

The dominant factor in the unprecedented fiscal deterioration thus was not the performance of the economy.  Nor was it increases in domestic programs.  The key factors have been large tax cuts and increases in security-related programs.  For fiscal 2009, some $1 trillion of the $1.3 trillion deterioration in the nation’s fiscal finances stems from policy actions, and tax cuts account for 42 percent of this $1 trillion deterioration.  Increases in military and other security programs account for another 40 percent of the deterioration.

The story is much the same for the ten-year period as a whole.  For the 2002-2011 period, tax cuts and increases in security programs account for more than four-fifths of the fiscal deterioration caused by policy actions.  Increases in domestic programs played a much more modest role. (more…)

Republican Forms Obama Support Group

August 13, 2008

Wednesday, August 13, 2008

FC1

This is a rush transcript from “America’s Election HQ,” August 12, 2008. This copy may not be in its final form and may be updated.

HEATHER NAUERT, HOST: Fresh from formally endorsing Barack Obama, we are going to talk to one of those Obama-cans. With me now, a former Republican congressman from Iowa, his name is Jim Leach. He served 30 years in the Congress.

Welcome, Mr. Leach. Let me ask you, you were never considered to be a very conservative member of the Republican Party, but nevertheless, why did you decide to abandon your party and support Barack Obama?

JIM LEACH, (R) FMR. IOWA CONGRESSMAN: Well, I think the country is in great difficulty today. In fact, I’ve never known a time period in which the American brand has been more tarnished in more parts of the world — and the national interest really requires a new approach, new ideas, new energy, a new generation of leadership, and beyond that, let me just say this is the time the country has got to put country before party. (more…)

Fuck McCain

May 31, 2008

All but conceding Dem primary is over, DNC turns to Obama defense

They don’t say the name of their likely nominee in the press release, but the DNC is effectively coming to the defense of Barack Obama for the first time today.

Citing what they call John McCain’s “troubling pattern of flubbing key facts and echoing obviously false statements about his own record,” the committee has put out a Top 10 of McCain’s “misstatements and outright deceptions.”

The move comes one day after Obama was hammered by the RNC and right-wing voices for falsely claiming his uncle helped liberate Auschwitz — it was a great-uncle and Buchenwald — and as conservatives buzz about a pattern of embellishments.

1. McCain doesn’t even know who is in charge in Iran.
2. Iraq/Iran, Sunni/Shia: McCain doesn’t know the difference.
3. McCain still thinks Czechoslovakia (which split into two countries in 1993) exists.
4. McCain wrongly claimed that Baghdad was mostly normal.
5. McCain called Baghdad market safe.
6. McCain can’t even remember how little he knows about the economy.
7. McCain falsely claimed he never requested pork.
8. McCain falsely claimed that tax cuts increased government revenues.
9. McCain’s claim to be untainted by special interest money is false.
10. McCain wrongly claimed he never supported amnesty.

UPDATE: The DNC, doing their due diligence, asked me to take this post down.

I declined.

But this is what DNC spokesman Damien LaVera has to say:

“This post mistakenly and inaccurately suggests that the DNC is taking sides in the primary. The DNC is absolutely neutral in the primary. The primary is not over. It is our job to hold John McCain accountable and as you can see from the materials below we have raised these same issues you posted about many, many times over the past several months. We also believe that it’s important that McCain’s so-called misstatements should be pointed out vigorously, like when he has gotten the basic facts on the ground in Iraq woefully incorrect.”