Deficit to Be $1.58 Trillion This Year

(CBS/AP)  The White House plans to announce the federal deficit is about $262 billion less than officials predicted earlier this year, in part because the administration has provided less aid than expected to bail out banks.

A White House official says the deficit will still be more than three times what it was last year. The official spoke on the condition of anonymity on Wednesday because the report is not set to be released until next Tuesday.

The official says the federal deficit this year will total $1.58 trillion. The report for the budget yet that ends on Sept. 30 predicts the government will spend $3.653 trillion this year.

The White House had been concerned that the August estimate from the Office of Management and Budget would dwarf previous numbers and infect the health care debate reports CBS News political consultant Mark Ambinder.

[endurorob]

ubrew12 August 20, 2009 1:45 AM EDT
You don't seem to get it. Most of that debt was created by tax cuts (i.e. by Reagan and GW Bush).


That is just stupidly ignorant. A deficit is created by spending more thatn you make. You have less money then spend less.

[lessonlearned]

A deficit is not the same as debt. Debt is the amount you owe, a deficit is the amount by which expenditures exceed income or budget.

[endurorob]

slownewsday_5 August 20, 2009 12:58 AM EDT
So did Bush, Maj, so did Clinton, and so on - do you have a real point, or are you just continuing your tantrum?



So you justify Obama lying because someone else did? Are you 5 years old?

[wyodutch]

Anyone who still clings to the belief that there's any significant differences between the two major partys is delusional.
.
Republicans gave us crap.. Democrats simply piled it higher.

[notsouthern]

The 2010 Congressional elections are 15 months away. Today's Democrats, under ObamaCare are smarter than the Republicon minority thus should pick up at least 5 more Senate seats in 2010, and a minimum of 35 more House seats. The racist bitter Cons at today's town hall meetings asssure US that their facsist drunken and bitter idiotology us dead in the USA!

[OldGeezer43]

Let's see our overall deficit is 11.6 trillion, through July 2009 we have
paid 340 billion in interest on loans (the third largest budget item behind Defense and social services) Those wonderful people who have brought us USPS, bank & auto bailouts, US dollar drop as reserve currency,
etc, etc and now universal health care(no one knows how to finance it) and various stimulus packages. What's next. or yeah! how about raising taxes.
deaf, dumb and blind in D.C., they just don't get it.

[ubrew12]

You don't seem to get it. Most of that debt was created by tax cuts (i.e. by Reagan and GW Bush).

[ubrew12]

Its important to remember that Obama is dealing with the worst economic crisis since the Great Depression. That's 80 years. And it was created by GW Bush and his tax cuts. Keynesian economics says its OK to add to the national debt when, to counter a recession, the Fed has cut interest rates to zero. That is what has happened, so Obama is perfectly correct to 'print money' and spend it on stimulus packages, etc.

The real question you should be asking is: what was Reagans excuse? What was GW Bush's? Both men used a minor recession as an excurse to double or TRIPLE the national debt. In each case, the Fed didn't even come CLOSE to dropping interest rates to zero. Adding to the national debt in those cases is, simply, indefensible. But, that's never stopped Republicans.

[melchg07]

Right now I don't think we are on a path to utter destruction, however we do need to get things under control and need to at least address Social Security and Health Care.....both need reform.

Right now we pay about 8% of the national budget soley on Interest. Not good but not devastating.

The is one major factor that people fail to account for.....the population....it will keep growing.

So 40 years from now the population will likely be around 400 million citizens ...in comparison to around 300 million today.

So if we can get the deficits under control the burden would be spread out over that many more people.

Also if we get meanigful healthcare and social security reform that could drastically change the future of the national debt.

Also if in the future say a decade down the road perhaps we will have a more stable middle east and have better relations with the world and perhaps could reduce spending on national defense.


Many variables in the mix, but I'm sure the people thought the US was in worse shape back in the 1930's and 40's and the next several decades showed significant improvement.

[ksmit2]

Oh, I see, Obama has been president for 7 or 8 months and he "created"
a 1.58 trillion dollar deficit. Uh, "sure Fred". Keep telling yourself
that. It is probably a moot point by now. The hurricane that is our
deficit, is like something in the gulf, nothing to worry about just yet.
When it finally "hits", we will see our currency trying to compete with
the peso, and the rupee. Laugh and be merry while you can, because when
the industrial world drops the dollar as "reserve" currency, because of
our credit risk, our roads, driveways, and lawns will be graveyards for
our suv"s, bimmers, and other toys, as we will no longer be able to buy
oil for refining, the chain reaction follows. The late, "Great" United States. I pray I'm wrong, but you can only cook the books for so long.

[sjc_1]

Bush signed the 2009 budget with a projected $1 trillion deficit. When you consider the TARP and ARRA to date, this is not a bad number. It will not be this big next year and if we can harness an expanding economy next year it can be quite a bit less.

[azure13]

Talk about beating a dead horse... We've heard this over and over and over.

[the_majesty]

Obama lies over and over and over and over.

[slownewsday_5]

So did Bush, Maj, so did Clinton, and so on - do you have a real point, or are you just continuing your tantrum?


.

[melchg07]

GOP Lie........"Obama said unemployment would not go over 8% "


http://www.dailykos.com/story/2009/7/26/758135/-Debunking-the-Obama-said-unemployment-wouldnt-go-over-8-LIE

[rotweil]

Just in case someone doubts the report or is looking for it you can see the chart listed on page 4 in the pdf file for the report mentioned by others

http://www.twine.com/item/11s7k2tcr-1vc/the-job-impact-of-the-american-recovery-and-reinvestment-plan-jan-10-2009

Joe Biden even responded to it later when saying they "Misread the economy" when it was brought up. It's old news the administration has already talked about.

[pensacola8-2009]

Wow! That was 400 billion less than I estimated. Not bad for a country that nearly saw the end of capitalism!!

Confidence in the market will return, but many are eager to take profits quickly like giving ice cream to heat victims. The path to recovery is on track. We have to remember this nation is connected to many others around the globe, and institutional investors will hunt for opportunities to compete...and that is best done where hopeful and competitive workers can be found.