Obama's deficit in pictures

[traderx]

I have no idea. But I get the sense that the government is taking on a lot of this unfortunate economic unwinding on its own shoulders (bailouts) so individuals, especially the middle class, can work on their own balance sheets. Over time, once the economy is humming again, those debts will have to be absorbed by individuals in the form of taxes. The deficits have been a problem since Reagan, right? Well, if this is the worst of it, it may take 10-15 years to balance the budget and 25 years to pay off the debt. Again -- no idea. Just a guess.

I have no idea either.

With total debt of $13 trillion, just the annual debt service at 4% is $520 billion. I truly believe we are past the point of no return. The only thing left to the future is a massive debt default by the US.

As for the federal government's "investment" in education, look at what has happened to our schools since Carter created the education department. It sounds good but schools are best run at the local level.

BTW, in addition to allowing the Bush tax rate cuts to expire , Obama also plans to limit mortgage interest deduction, personal exemptions and charitable deductions on those couples making over $250,000 and individuals with incomes greater than $200,000. With charitable deductions, that may have the effect of shifting money from charities to the federal government.

 

[Bob]

I have no idea either.

With total debt of $13 trillion, just the annual debt service at 4% is $520 billion. I truly believe we are past the point of no return. The only thing left to the future is a massive debt default by the US.

As for the federal government's "investment" in education, look at what has happened to our schools since Carter created the education department. It sounds good but schools are best run at the local level.

BTW, in addition to allowing the Bush tax rate cuts to expire , Obama also plans to limit mortgage interest deduction, personal exemptions and charitable deductions on those couples making over $250,000 and individuals with incomes greater than $200,000. With charitable deductions, that may have the effect of shifting money from charities to the federal government.

great ideas! long time coming! as for carter, nice drive-by, how about look what happened to the environment since nixon created the epa, it sounds good, but let business self- regulate.

 

[30ashopper]

 

[lerxst]

Hey, relax everybody, its' all Bush's fault!

 

[TooFarTampa]

libs, how about people? i am a registered republican, at least until i get the energy to go to the library and change to "no party affiliation". i voted for gw twice. i am not a "lib". gw and the repubs have utterly decimated our country. please face up to that "fact" and i will listen to your rants, deliberations, and theories. here's a huge hint, the "libs" did not throw the repubs out of power. the independents and moderate republicans blew out the bible thumping war mongers. "libs", i love it!

Tell it, Bobby.

we are never again going to balance the budget until the "day o' default". the last president to balance will be clinton.

What happens on that day of default? :shock: What are the consequences? Maybe I should Google it but let's start a tangent instead.

Obama also plans to limit mortgage interest deduction, personal exemptions and charitable deductions on those couples making over $250,000 and individuals with incomes greater than $200,000. With charitable deductions, that may have the effect of shifting money from charities to the federal government.

I do have a pretty good sense of the stated tax changes, and this is the one I disagree with the most. Mostly because there are so many people with high state or local taxes (New York, New Jersey, etc) or high property taxes (Florida) or both (California). Those people deserve the full 36 or 39 percent deduction for the amount they are paying in taxes outside federal income tax. I'm assuming :roll: the 28 percent limit on deductions will also apply to those taxes, because they're all lumped in together with charitable contributions and mortgage interest when you itemize.

Although it is my understanding that currently, the AMT already limits many high income people's deductions, so I am not clear on how the AMT factors in.

Anyway, I think this is a big overreach and this portion of the tax changes will not stand. But we shall see.

 

[Minnie]

What would be very helpful -- and I haven't seen anything like it yet, though perhaps I have been looking in the wrong places -- is a breakdown of the proposed budget and exactly where it differs from this year or previous years, and why. Frankly I do not have time to read the entire budget and analyze it myself. And I consider myself more informed on these matters than probably 90 percent of the population.

You will notice the WaPo article that ran with the above chart did nothing to answer my question.

This might help.

NPR: Details on Obama's Budget

 

[GoodWitch58]

good info, Minnie. Thanks for posting.

 

[30ashopper]

This might help.

NPR: Details on Obama's Budget

Man, after reading through that sublime treatment, I'm ready to go, lets spend!

 

[Minnie]

Man, after reading through that sublime treatment, I'm ready to go, lets spend!

I need a new computer, you buying, ;-) if not about all I can afford is to buy you a drink.

 

[Susan Horn]

Maybe this is a good opportunity to get more clarity about what's going on with the economy. Hoping some of you who really understand the lingo and subtleties will go to the website and enter some helpful questions. I just received this in a forwarded e-mail:--------------------------------

I wanted to tell you about an exciting new feature just launched on the White House website called "Open for Questions."

Here's how it works -- President Obama is inviting everyone to ask a question about the economy and to rate other questions up or down.

On Thursday morning, the President will conduct an online town hall on the economy and answer some of the most popular questions live.

Watch a video of the President explaining this new feature and be a part of it now.

"Open for Questions" is an opportunity to open up the White House to all Americans.

It's an experiment designed to encourage transparency and accountability by giving you a direct line to the White House.

This first round will deal with the economy. Americans deserve to know what their government is doing to get our economy back on track. But it's up to you to participate and make this experiment a success.

Join the discussion now:

http://whitehouse.gov/OpenForQuestions

Thanks, and remember to check back Thursday to watch the President answer some of your questions live.

Mitch

Mitch Stewart
Director
Organizing for America