2008 U.S. Budget Deficit Bleeding Red Ink

First 4 Months Of Budget Year At Nearly $88B, Double Amount Recorded For Same 2007 Period

(AP)  The federal budget deficit is running at a pace that is more than double last year's imbalance through the first four months of the budget year.

In its monthly review of the government's finances, the Treasury Department said Tuesday that the budget was in surplus in January, but totals $87.7 billion so far this budget year, double the $42.2 billion imbalance recorded during the same period in 2007. The new budget year started last Oct. 1.

The Bush administration sent its final budget request to Congress last week, projecting that the deficit for all of 2008 will total $410 billion, very close to the all-time high in dollar terms of $413 billion in 2004.

So far this year, federal spending is 8.3 percent ahead of last year's pace, at $949.1 billion. That is far ahead of the 3.2 percent increase in revenues, which have totaled $861.4 billion in the current budget year.

For 2007, the budget deficit totaled $162 billion, a five-year low. However, the slowing economy is expected to stunt the growth of tax revenues while the $168 billion economic stimulus plan passed by Congress last week will swell the deficit.

It is hoped the stimulus plan will keep the economy out of a recession or at least make the downturn milder and shorter than it otherwise would have been. The rebate checks are expected to start being mailed out in May with most Americans getting checks of $600 for individuals and $1,200 for couples filing their tax returns jointly. In addition, families with children will get an extra $300 per child.

For January, the surplus totaled $17.8 billion. That was down from a January 2007 surplus of $38.2 billion. The government's books are often in surplus in January because it is a month when many individual taxpayers make a quarterly estimated payment.

While the administration is projecting that the deficit for the current 2008 budget year will total $410 billion and decline only slightly to $407 billion in 2009, it projects a significant improvement after those years.

Bush's budget said that the president's goal of getting the budget back into balance in 2012, three years after he leaves office, is still achievable, forecasting a balance that year of $48 billion.

However, private forecaster have termed the administration's deficit projections unrealistic.

Goldman Sachs economists said last week that they had boosted their deficit forecast for this year to $425 billion and to $440 billion in 2009, reflecting the stimulus package.

[lochlan-2009]

Just a large bunch of thieves in D.C. today. Why rob a bank when you can become a politician and steal more money then any bank holds in their vaults?

[newz4i]

Senator McCain said he could see having American troops in Iraq for 100 years.

Cost of Iraqi war: $275 million per day TIMES 365 days TIMES 100 years = Bush legacy.

Most important cost of Iraqi war:

Total Fatalities:

Operation Iraqi Freedom: 3,951
Operation Enduring Freedom: 478
(Updated February 13, 2008)

... TIMES today''s casualty count by 100 years = Bush legacy.

A vote for McCain is a vote for MORE OF THE SAME.

[whatithink-2009]

I want my tax cuts! I want my war! And, if my great, great, great, great, great, great, great, great grandchild have to pay for it - then so be it!

[ghostcommand]

The Republicans, all included, have committed the largest robbery in history of present and future taxpayers. By the time THING leaves office the National Debt will be $9,7000,000,000,000 of which approximately 50% can be laid at the feet, or around the necks, of the Republicans. We have a $14 trillion GDP and an average tax rate of 13% and the Debt continues to grow. How are your children and grandchildren going to pay down this despicable debt passed on to them? Will they have to pay 10% more for ten years, or 5% for 20 years, or 2.5% for 40 years? These Republican fools want to make the tax cuts for the rich-permanent. What say you--Mom, Dad, Grandpa, and Grandma?

[skyk-2009]

Who ever the next president is, he or she will have the greatest challenges any new president will ever have to face in American History. Lets hope he or she can turn things around.


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Posted by lowell43 at 06:19 PM : Feb 12, 2008
+ report abuse

You are so right... we have handed Democrat''s some Horrible messes in the past but this may well be the worst of them all. The depth and magnitude of this is breath taking. How ONE Man and ONE Party can take a nation with a BALANCED BUDGET and a Surplus and turn it into this is beyond belief. All they had to do was LEAVE it alone... The system Rubin had in place was working like a fine watch. But no they had to YET AGAIN try the "Trickle Down" idea....

[iphyt4u]

the only way that the bush administration and the republicans can get themselves out of this bind is to create a war. oops... already done that...it''s also going to be hard to raise tax revenue when people are getting laid off. well, at least bush''s buddies in the oil business are doing good. america destroyed, by it''s very own president.

[joyous88]

the conservative borrow and spend republican party

want four more of the same vote for these idiots again

[rowdytexan2]

And the Repugs are going to claim that they are fiscally responsible.And should be in charge for the next 4 years. LOL


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Posted by HSinCO at 06:32 PM : Feb 12, 2008

If you notice on these posts, all the republicans are blaming it on Bill Clinton, rofl!

And then they brag about the great Reagonomics or trickle down economics, rolf!

And then when that doesn''t work, they claim there''s an Islamic jihadist behind every tree in your yard and that we need to send all our money to Iraq to fight terrorism! rofl

And when that doesn''t work, the Russians are going to bomb us.

And when that doesn''t work, the Iranians are going to bomb us.

And when that doesn''t work, they making up statistics about abortion claiming we''re all killing our babies and they neeg to legislate our morality!

And of course now that Venezuela is refusing to sell Exxon/Mobil any more oil...they''ll have to charge more for what''s in their reserve storage tanks, tsk tsk folks...

It''s everybody''s fault but the republican NEOCONS!

[bozworth4]

Thanks King George II. There aren''t any Democrats or Republicans only politicians!!! Congress aproved this spending, not Me!!

[hsinco-2009]

And the Repugs are going to claim that they are fiscally responsible.And should be in charge for the next 4 years. LOL