Some lessons in spending the Republicans need to get a grasp on

January 4, 2013 at 12:23 pm in Class War, Economics and Ideology, Economy by IfLizWereQueen

THE DEFICIT HAS BALLOONED BECAUSE OF THE RECESSION–NOT BECAUSE OF GOVERNMENT SPENDING!

The deficit has ballooned not because of specific spending measures, but because of the recessionThe deficit more than doubled between 2008 and 2009, as the economy was in free fall, since laid-off workers paid less in taxes and needed more benefits. The deficit then shrank in 2010 and 2011.

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THE STIMULUS COST MUCH LESS THAN BUSH’S WARS AND TAX CUTS

Republicans frequently have blamed the $787 billion stimulus for the national debt, but, when all government spending is taken into account, the stimulus frankly wasn’t that big. In contrast, the U.S. will have spent nearly $4 trillion on wars in the Middle East by the time those conflicts end, according to a recent report by Brown University.The Bush tax cuts have cost nearly $1.3 trillion over ten years.

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THE DEFICIT GREW UNDER GEORGE W. BUSH

When George W. Bush took office, the federal government was running a surplus of $86 billion. When he left, that had turned into a $642 billion deficit.

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THE DEFICIT IS SHRINKING

Last year’s federal budget deficit was 12 percent lower than in 2009, according to the Office of Management and Budget.The deficit is projected to shrink even more over the next several years.

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HEALTH CARE REFORM REDUCES THE DEFICIT

Republicans have blasted the Affordable Care Act as “budget-busting.” But health care reform actually reduces the deficit, according to the Congressional Budget Office.

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WE SPEND WAY TOO MUCH ON DEFENSE

Defense spending constituted 20 percent of federal spending last year, or $718 billion, according to the Center on Budget and Policy Priorities. This adds up to 41 percent of the world’s defense spending, according to Bloomberg TV anchor Adam Johnson.  It is absurd that one nation in the world (the USA) spend almost half the total money spent by all nations on this planet–absolutely absurd!
Proclaim the Queen!