With prospects of a Republican takeover of Congress, Libertarian Party (LP) Chair Mark Hinkle posed this question: "In order to balance the budget, where will the GOP pull the plug first: on Granny, or on foreign wars?"
Hinkle continued, "Of course, Republicans may have no serious intention of cutting federal deficits or spending, and their complaints about 'out-of-control spending' might be hypocrisy."
Over 60% of federal spending is in three areas: Social Security, Medicare/Medicaid, and the military. It would be impossible to eliminate the federal deficit without cutting entitlements or military spending, such as the wars in Iraq and Afghanistan.
Tea Party leader Dick Armey recently called Social Security a ponzi scheme.
LP Executive Director Wes Benedict said, "Social Security is universal mandatory welfare for seniors. It's very un-libertarian."
Benedict continued, "I suppose one way to maintain the Social Security scheme would be to rapidly grow the U.S. working population, such as by opening up our borders to increase immigration. However, Republican congressmen have tried to duck their responsibility for the bad economy by scapegoating illegal immigrants, so allowing a massive influx of immigrants is politically infeasible in the near future.
"Each child born in the U.S. immediately faces a debt of over $40,000. Ironically, it might not be long before American youth start ditching this debt foisted on them by their parents and grandparents, and start leaving America in search of better opportunity abroad.
"To make Social Security solvent as our population ages, the federal government either has to raise the tax, or cut the benefits. The last significant change to Social Security was a tax increase approved by Ronald Reagan. Libertarians favor cutting Social Security benefits, and we oppose tax increases. Libertarians would prefer to allow workers to opt out of Social Security. Perhaps entitlements can be cut gradually, rather than slashed abruptly, but that depends on taking action sooner rather than later.
"On the October 17 'Fox News Sunday,' I saw that Republican senate candidate Carly Fiorina was repeatedly asked what parts of entitlements she would cut to balance the budget, and she repeatedly dodged the question."
The recent Republican 'Pledge to America' makes no mention of cutting entitlements or the military.
Benedict continued, "Republicans refuse to say where they would cut entitlement spending, and of course Republicans oppose cutting military spending or ending America's foreign wars. Therefore, I'd say that Republicans are hypocrites who aren't serious about solving the federal debt problem."
A video lampooning John Boehner and the Republican 'Pledge to America' was created by Travis Irvine, Libertarian for U.S. Congress in Ohio District 12.
Benedict continued, "Only Libertarians recognize that we can't have it all for much longer. The longer Republicans and Democrats flush money down the toilet in Iraq and Afghanistan, the sooner the government will have to cut benefits for Granny. Of course, Congress may never have the courage to pass legislation to cut entitlements. In that scenario, Granny will eventually start experiencing 'rolling blackouts,' or perhaps a total system collapse.
"Libertarians stand ready to cut spending across the board. Perhaps the question Granny needs to answer is, 'Which do you love more: your Social Security check, or foreign wars?'"
The Libertarian Party has 21 candidates for U.S. Senate and 169 candidates for U.S. House in the upcoming November 2010 elections.
-----
Community News You Can Use
Click to read MORE news:
www.GeorgiaFrontPage.com
Twitter: @gafrontpage & @TheGATable @HookedonHistory
www.ArtsAcrossGeorgia.com
Twitter: @artsacrossga, @softnblue, @RimbomboAAG
www.FayetteFrontPage.com
Twitter: @FayetteFP
Showing posts with label deficit. Show all posts
Showing posts with label deficit. Show all posts
Monday, October 18, 2010
Tuesday, July 27, 2010
Governor Cuts State Services Again in Beginning Days of the Fiscal Year
The Office of Planning and Budget is withholding four percent of funds from already stressed state agencies, and has asked agencies to propose budgets for cuts of four, six, and eight percent on top of this year's large cuts. The Georgia Budget &Policy Institute's latest report, Georgia Once Again Faces Budget Shortfall: Governor Orders Hundreds of Millions of Dollars in Additional Budget Cuts, details the financial impact of these three levels of cuts.
Georgia is in the first month of its 2011 fiscal year, yet it is already facing a potential budget shortfall of between $413 million and $613 million. This shortfall is on top of the $2.5 billion in budget cuts already implemented since pre-recessionary FY 2009. This budget gap is due to several factors:
1) the U.S. Congress has not extended the enhanced Medicaid match which would have provided Georgia $375 million;
2) the state transferred $37.7 million in Education Stabilization Recovery Act funds budgeted for FY 2011 into FY 2010; and
3) there is a projected shortfall in the State Health Benefit Plan of as much as $200 million.
The education QBE funding formula is exempt from the withholding allotment. In addition, the Department of Education has been instructed to submit a FY 2011 Amended Budget proposal with a two percent QBE budget cut.
Lawmakers had already cut the fiscal year (FY) 2011 budget by over 12 percent since FY 2009, despite a growing population, increasing infrastructure problems, and significant needs for services from those families hardest hit during the recession.
"Particularly concerning is the fact that vital state agencies that educate and protect our children, protect the health and safety of vulnerable Georgians, and plan the state's economic development have already faced crippling cuts," said Alan Essig, the Institute's executive director and author of the latest policy report.
"Most of the additional cuts can be avoided if Congress passes the enhanced Medicaid funding which our state is counting on."
Even if congress approves the enhanced Medicaid match, all Recovery Act state stabilization funds expire the end of June. According to the Georgia State University Fiscal Research Center the state of Georgia will be facing a structural deficit of between $1.8 billion and $2 billion in FY 2012.
"We have high expectations that the recently formed Tax Council will develop recommendations to solve Georgia's immediate fiscal crisis as well as fix Georgia's long-term structural deficit," said Essig. "Its decisions affect Georgia's economy and its people."
Also, read an update of an analysis by Deputy Director Sarah Beth Gehl that details tax legislation passed during the 2010 legislative session, Adding Up the Fiscal Notes 2010: Governor Vetoes Revenue Drains on Future Budgets, but Signs Bill That Reduces Low Income Tax Credit.
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
Follow us on Twitter: @GAFrontPage
Georgia is in the first month of its 2011 fiscal year, yet it is already facing a potential budget shortfall of between $413 million and $613 million. This shortfall is on top of the $2.5 billion in budget cuts already implemented since pre-recessionary FY 2009. This budget gap is due to several factors:
1) the U.S. Congress has not extended the enhanced Medicaid match which would have provided Georgia $375 million;
2) the state transferred $37.7 million in Education Stabilization Recovery Act funds budgeted for FY 2011 into FY 2010; and
3) there is a projected shortfall in the State Health Benefit Plan of as much as $200 million.
The education QBE funding formula is exempt from the withholding allotment. In addition, the Department of Education has been instructed to submit a FY 2011 Amended Budget proposal with a two percent QBE budget cut.
Lawmakers had already cut the fiscal year (FY) 2011 budget by over 12 percent since FY 2009, despite a growing population, increasing infrastructure problems, and significant needs for services from those families hardest hit during the recession.
"Particularly concerning is the fact that vital state agencies that educate and protect our children, protect the health and safety of vulnerable Georgians, and plan the state's economic development have already faced crippling cuts," said Alan Essig, the Institute's executive director and author of the latest policy report.
"Most of the additional cuts can be avoided if Congress passes the enhanced Medicaid funding which our state is counting on."
Even if congress approves the enhanced Medicaid match, all Recovery Act state stabilization funds expire the end of June. According to the Georgia State University Fiscal Research Center the state of Georgia will be facing a structural deficit of between $1.8 billion and $2 billion in FY 2012.
"We have high expectations that the recently formed Tax Council will develop recommendations to solve Georgia's immediate fiscal crisis as well as fix Georgia's long-term structural deficit," said Essig. "Its decisions affect Georgia's economy and its people."
Also, read an update of an analysis by Deputy Director Sarah Beth Gehl that details tax legislation passed during the 2010 legislative session, Adding Up the Fiscal Notes 2010: Governor Vetoes Revenue Drains on Future Budgets, but Signs Bill That Reduces Low Income Tax Credit.
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
Follow us on Twitter: @GAFrontPage
Wednesday, December 23, 2009
New Concord Coalition Paper Discusses 'End Game' Fiscal Considerations for Health Care Reform
/PRNewswire/ -- With the House having passed its version of health care reform (H.R. 3962) and the Senate on the verge of passing its version (H.R. 3590), the outline of a final bill is beginning to take shape. In its new Issue Brief, The Concord Coalition looks ahead at the fiscal considerations that will likely be the subject of conference committee discussions and "end game" negotiations. These include the cost of expanding coverage, the methods used to prevent that cost from adding to the deficit, and the prospects for systemic reforms to reduce cost growth over time.
This issue brief gives The Concord Coalition's perspective on how the bills measure up, what the risks are and how these risks could be lessened. We conclude that:
-- Both bills establish an important benchmark by achieving deficit
reduction according to official cost estimates by the Congressional
Budget Office (CBO). However, the fiscal outlook remains on an
unsustainable track even with the modest deficit reduction achieved
under either plan.
-- There are clear risks that some of the methods used to achieve deficit
reduction in the official scores may not hold up over the long-term.
-- The revenue package in the Senate bill holds more promise to reduce
the deficit than the House version because its largest component --
the high-cost insurance excise tax -- will better keep up with the
growth rate of health care spending, and will also work to lower
health care costs.
-- Both bills contain many promising reform strategies to achieve
long-term cost control. However, these strategies remain unproven and
cannot be counted on to produce timely, reliable savings without a
strong cost control mechanism such as the Senate's proposed
Independent Payment Advisory Board (IPAB).
The "Fiscal Risks" mentioned in the discussion include:
-- Doing Nothing
-- Spending offsets that are not maintained over time
-- "Curve benders" that don't pan out or are not adopted more broadly
-- Failure to include an effective cost control mechanism
-- Lagging revenue increases
-- General revenue bailout of the CLASS provision
-- Inadequate premium subsidies, weak penalties, and a poorly designed
exchange
In the conclusion, Concord discuss the possible changes that could be added to the legislation to lessen these risks and further promote fiscal responsibility.
To read the full issue brief, go to: http://www.concordcoalition.org/issue-briefs/2009/1223/health-care-reform-end- game-fiscal-considerations
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
This issue brief gives The Concord Coalition's perspective on how the bills measure up, what the risks are and how these risks could be lessened. We conclude that:
-- Both bills establish an important benchmark by achieving deficit
reduction according to official cost estimates by the Congressional
Budget Office (CBO). However, the fiscal outlook remains on an
unsustainable track even with the modest deficit reduction achieved
under either plan.
-- There are clear risks that some of the methods used to achieve deficit
reduction in the official scores may not hold up over the long-term.
-- The revenue package in the Senate bill holds more promise to reduce
the deficit than the House version because its largest component --
the high-cost insurance excise tax -- will better keep up with the
growth rate of health care spending, and will also work to lower
health care costs.
-- Both bills contain many promising reform strategies to achieve
long-term cost control. However, these strategies remain unproven and
cannot be counted on to produce timely, reliable savings without a
strong cost control mechanism such as the Senate's proposed
Independent Payment Advisory Board (IPAB).
The "Fiscal Risks" mentioned in the discussion include:
-- Doing Nothing
-- Spending offsets that are not maintained over time
-- "Curve benders" that don't pan out or are not adopted more broadly
-- Failure to include an effective cost control mechanism
-- Lagging revenue increases
-- General revenue bailout of the CLASS provision
-- Inadequate premium subsidies, weak penalties, and a poorly designed
exchange
In the conclusion, Concord discuss the possible changes that could be added to the legislation to lessen these risks and further promote fiscal responsibility.
To read the full issue brief, go to: http://www.concordcoalition.org/issue-briefs/2009/1223/health-care-reform-end- game-fiscal-considerations
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
Monday, July 20, 2009
Boehner Statement on White House Decision to Delay Mid-Year Budget Review
House Republican Leader John Boehner (R-OH) issued the following statement on the White House’s decision to put off its mid-year budget review, which is expected to show a historic deficit, until next month, after Congress has left Washington:
“Let’s be honest about what this is: an attempt to hide a record-breaking deficit as Democratic leaders break arms to rush through a government takeover of health care. The Congressional Budget Office confirmed last week that the Democrats’ plans will increase health care costs and add hundreds of billions to the deficit. Try as they might, the White House cannot hide the fact that the policies of this Administration have buried our children and grandchildren under historic debt. Washington Democrats are spending with reckless abandon, yet by burying this budget update until after Congress leaves town next month, the Administration is not willing to own up to the consequences of this dangerous fiscal agenda.
“All year long, Republicans have proposed better solutions to create jobs, expand access to affordable health care, curb spending, and control the debt, but Democrats instead have gone it alone and barreled ahead with an expensive, partisan agenda. Taxpayers cannot afford it, nor can future generations. It’s time for Democrats to work in a bipartisan way to get control over our budget and trust small businesses – not government here in Washington – to create jobs for the American people.”
NOTE: The Congressional Budget Office (CBO) last week estimated that the House Democrats’ government takeover of health care would increase the deficit by $239 billion over the next 10 years, while CBO Director Douglas Elmendorf warned Congress that the Democrats’ plans will drive health care costs even higher.
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
www.politicalpotluck.com
Political News You Can Use
“Let’s be honest about what this is: an attempt to hide a record-breaking deficit as Democratic leaders break arms to rush through a government takeover of health care. The Congressional Budget Office confirmed last week that the Democrats’ plans will increase health care costs and add hundreds of billions to the deficit. Try as they might, the White House cannot hide the fact that the policies of this Administration have buried our children and grandchildren under historic debt. Washington Democrats are spending with reckless abandon, yet by burying this budget update until after Congress leaves town next month, the Administration is not willing to own up to the consequences of this dangerous fiscal agenda.
“All year long, Republicans have proposed better solutions to create jobs, expand access to affordable health care, curb spending, and control the debt, but Democrats instead have gone it alone and barreled ahead with an expensive, partisan agenda. Taxpayers cannot afford it, nor can future generations. It’s time for Democrats to work in a bipartisan way to get control over our budget and trust small businesses – not government here in Washington – to create jobs for the American people.”
NOTE: The Congressional Budget Office (CBO) last week estimated that the House Democrats’ government takeover of health care would increase the deficit by $239 billion over the next 10 years, while CBO Director Douglas Elmendorf warned Congress that the Democrats’ plans will drive health care costs even higher.
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
www.politicalpotluck.com
Political News You Can Use
Friday, February 27, 2009
RNC: Welcome Back Rosy, Have Democrats Traded One Form of Deception for Another in the Budget Process?
/PRNewswire-USNewswire/ -- The following was released today by the Republican National Committee:
At The Fiscal Responsibility Summit, President Obama Pledged To Introduce An Honest Budget That Is Free Of Gimmicks And Deception:
President Obama Pledged To Introduce A Budget That Is An Honest
Accounting Of The Financial Situation. President Obama: "And that's why the budget I will introduce later this week will look ahead 10 years and will include a full and honest accounting of the money we plan to spend and the deficits we will likely incur. To start reducing these deficits, I've committed to going through our budget line by line to root out waste and inefficiency, a process that Peter and our administration, our team, has already begun. And I'll soon be instructing each member of my cabinet to go through every item in their budgets as well." (President Barack Obama, Remarks To The Fiscal Responsibility Summit, Washington, DC, 2/23/09)
President Obama: "Our Budget Process In Washington Has Been An Exercise In Deception." President Obama: "We'll start by being honest with ourselves about the magnitude of our deficits. For too long, our budget process in Washington has been an exercise in deception, a series of accounting tricks to hide the extent of our spending and the shortfalls in our revenue and hope that the American people won't notice; budgeting certain expenditures for just one year, when we know we'll incur them every year for five or 10; budgeting zero dollars for the Iraq war - zero - for future years even when we knew the war would continue; budgeting no money for natural disasters, as if we would ever go 12 months without a single flood, fire, hurricane or earthquake." (President Barack Obama, Remarks To The Fiscal Responsibility Summit, Washington, DC, 2/23/09)
President Obama: "We do ourselves no favors by hiding the truth about what we spend. In order to address our fiscal crisis, we're going to have to be candid about its scope." (President Barack Obama, Remarks To The Fiscal Responsibility Summit, Washington, DC, 2/23/09)
The New Democrat Budget Has People Wondering If "Rosy Scenario" Is Back In Washington:
Private Economists Wonder If Democrats Have Brought "Rosy Scenario" Back To Washington. "The administration insists it isn't so, but some private economists are wondering if the Obama administration has brought 'Rosy Scenario' back to town." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
Many Economists Say The Democrat Budget Uses "One Of The Oldest Gimmicks Around" By Relying On Overly Optimistic Economic Assumptions. "But many economists who examined the economic assumptions that undergird the spending plan believe that Obama may have resorted to one of the oldest gimmicks around - relying on overly optimistic economic assumptions to make it look like you are dealing with soaring budget deficits when in reality you are only closing the gap on paper." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
In Order To Achieve The Deficit Cutting That Democrats Hope For, The Economy Would Have To Grow At Levels Similar To The Boom Of The 1990s. "The Obama budget puts the deficit at less than $600 billion starting in 2012 from $1.75 trillion this year. Getting to that point requires GDP to rise more than 4% a year by then -- meaning the U.S. would quickly return to growth rates similar to the boom years of the 1990s -- after the worst financial shock since the Great Depression. Such growth is more than a full percentage point above private-sector growth estimates for 2011 and 2012." (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
Economic Forecasts In The Democrat Budget Are Much Higher Than Private Forecasts:
The Economic Forecasts In The Democrat Budget Are "Far Higher" Than Many Private Analysts. "But the administration forecast is far higher than the projections for growth in the overall economy, as measured by the gross domestic product, of many private analysts." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
Democrats Predict The GDP Will Grow By More Than 4 Percent In 2011, 2012, And 2013. "In its budget, the administration predicted that the overall economy, as measured by the gross domestic product, will shrink by 1.2 percent this year but will grow by a solid 3.2 percent in 2010. That growth would be followed by even stronger increases of 4 percent in 2011, 4.6 percent in 2012 and 4.2 percent in 2013." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
Private Forecasters Agree That The GDP Will Not Grow As Much As The White House Forecasters Predict. "By contrast, the consensus of forecasters surveyed by Blue Chip Economic Indicators in February predicted that the GDP will fall by a larger 1.9 percent this year and then increase at weaker rates of 2.1 percent in 2010, 2.9 percent in 2011 and 2012 and 2.8 percent in 2013." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
A Top White House Official Admitted That Budget Estimates Were More Optimistic Than Private Forecasts:
White House Economist Christina Romer Admitted That The Democrats' Economic Forecasts Are "Somewhat More Optimistic" Than Private Economists. "Speaking to reporters Thursday, White House economist Christina Romer called the projections an 'honest forecast' by the administration's professional forecasters. 'I'd reject the premise that we're noticeably rosier,' she said. 'We certainly are somewhat more optimistic, but certainly nothing out of the ballpark.'" (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
The Budget Relies On An Estimate That The Unemployment Rate Will Be 7.9 Percent In 2010, 1.6 Percent Lower Than Last Year's Most Accurate Forecasters:
The Obama Administration Anticipates The Unemployment Rate To Fall To 7.9 Percent In 2010. "Most Fed officials, who have repeatedly proven to be too hopeful about a recovery, see the unemployment rate between 8.5% and 8.8% in the fourth quarter of 2009 and around 8% to 8.3% in late 2010. The administration puts the 2010 annual average at 7.9%, even though Fed officials and most private forecasters expect joblessness to remain well above 8% - and in some cases closer to 9% - through much of the year." (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
Economists At Goldman Sachs Estimate The Unemployment Rate To Be 9.5 Percent In 2010. "Goldman Sachs economists, whose forecasts were among the most accurate last year, expect the unemployment rate to be at 9.5% by late 2010." (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
-----
www.georgiafrontpage.com
Georgia Front Page
www.fayettefrontpage.com
Fayette Front Page
At The Fiscal Responsibility Summit, President Obama Pledged To Introduce An Honest Budget That Is Free Of Gimmicks And Deception:
President Obama Pledged To Introduce A Budget That Is An Honest
Accounting Of The Financial Situation. President Obama: "And that's why the budget I will introduce later this week will look ahead 10 years and will include a full and honest accounting of the money we plan to spend and the deficits we will likely incur. To start reducing these deficits, I've committed to going through our budget line by line to root out waste and inefficiency, a process that Peter and our administration, our team, has already begun. And I'll soon be instructing each member of my cabinet to go through every item in their budgets as well." (President Barack Obama, Remarks To The Fiscal Responsibility Summit, Washington, DC, 2/23/09)
President Obama: "Our Budget Process In Washington Has Been An Exercise In Deception." President Obama: "We'll start by being honest with ourselves about the magnitude of our deficits. For too long, our budget process in Washington has been an exercise in deception, a series of accounting tricks to hide the extent of our spending and the shortfalls in our revenue and hope that the American people won't notice; budgeting certain expenditures for just one year, when we know we'll incur them every year for five or 10; budgeting zero dollars for the Iraq war - zero - for future years even when we knew the war would continue; budgeting no money for natural disasters, as if we would ever go 12 months without a single flood, fire, hurricane or earthquake." (President Barack Obama, Remarks To The Fiscal Responsibility Summit, Washington, DC, 2/23/09)
President Obama: "We do ourselves no favors by hiding the truth about what we spend. In order to address our fiscal crisis, we're going to have to be candid about its scope." (President Barack Obama, Remarks To The Fiscal Responsibility Summit, Washington, DC, 2/23/09)
The New Democrat Budget Has People Wondering If "Rosy Scenario" Is Back In Washington:
Private Economists Wonder If Democrats Have Brought "Rosy Scenario" Back To Washington. "The administration insists it isn't so, but some private economists are wondering if the Obama administration has brought 'Rosy Scenario' back to town." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
Many Economists Say The Democrat Budget Uses "One Of The Oldest Gimmicks Around" By Relying On Overly Optimistic Economic Assumptions. "But many economists who examined the economic assumptions that undergird the spending plan believe that Obama may have resorted to one of the oldest gimmicks around - relying on overly optimistic economic assumptions to make it look like you are dealing with soaring budget deficits when in reality you are only closing the gap on paper." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
In Order To Achieve The Deficit Cutting That Democrats Hope For, The Economy Would Have To Grow At Levels Similar To The Boom Of The 1990s. "The Obama budget puts the deficit at less than $600 billion starting in 2012 from $1.75 trillion this year. Getting to that point requires GDP to rise more than 4% a year by then -- meaning the U.S. would quickly return to growth rates similar to the boom years of the 1990s -- after the worst financial shock since the Great Depression. Such growth is more than a full percentage point above private-sector growth estimates for 2011 and 2012." (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
Economic Forecasts In The Democrat Budget Are Much Higher Than Private Forecasts:
The Economic Forecasts In The Democrat Budget Are "Far Higher" Than Many Private Analysts. "But the administration forecast is far higher than the projections for growth in the overall economy, as measured by the gross domestic product, of many private analysts." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
Democrats Predict The GDP Will Grow By More Than 4 Percent In 2011, 2012, And 2013. "In its budget, the administration predicted that the overall economy, as measured by the gross domestic product, will shrink by 1.2 percent this year but will grow by a solid 3.2 percent in 2010. That growth would be followed by even stronger increases of 4 percent in 2011, 4.6 percent in 2012 and 4.2 percent in 2013." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
Private Forecasters Agree That The GDP Will Not Grow As Much As The White House Forecasters Predict. "By contrast, the consensus of forecasters surveyed by Blue Chip Economic Indicators in February predicted that the GDP will fall by a larger 1.9 percent this year and then increase at weaker rates of 2.1 percent in 2010, 2.9 percent in 2011 and 2012 and 2.8 percent in 2013." (Martin Crutsinger, "Economists Question Budget's Economic Assumptions," The Associated Press, 2/27/09)
A Top White House Official Admitted That Budget Estimates Were More Optimistic Than Private Forecasts:
White House Economist Christina Romer Admitted That The Democrats' Economic Forecasts Are "Somewhat More Optimistic" Than Private Economists. "Speaking to reporters Thursday, White House economist Christina Romer called the projections an 'honest forecast' by the administration's professional forecasters. 'I'd reject the premise that we're noticeably rosier,' she said. 'We certainly are somewhat more optimistic, but certainly nothing out of the ballpark.'" (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
The Budget Relies On An Estimate That The Unemployment Rate Will Be 7.9 Percent In 2010, 1.6 Percent Lower Than Last Year's Most Accurate Forecasters:
The Obama Administration Anticipates The Unemployment Rate To Fall To 7.9 Percent In 2010. "Most Fed officials, who have repeatedly proven to be too hopeful about a recovery, see the unemployment rate between 8.5% and 8.8% in the fourth quarter of 2009 and around 8% to 8.3% in late 2010. The administration puts the 2010 annual average at 7.9%, even though Fed officials and most private forecasters expect joblessness to remain well above 8% - and in some cases closer to 9% - through much of the year." (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
Economists At Goldman Sachs Estimate The Unemployment Rate To Be 9.5 Percent In 2010. "Goldman Sachs economists, whose forecasts were among the most accurate last year, expect the unemployment rate to be at 9.5% by late 2010." (Sudeep Reddy, "Rosy Assumptions Hold Down Deficit," The Wall Street Journal, 2/27/09)
-----
www.georgiafrontpage.com
Georgia Front Page
www.fayettefrontpage.com
Fayette Front Page
Wednesday, February 25, 2009
Blunt Response to President Obama's Address
/PRNewswire-USNewswire/ -- Missouri Congressman Roy Blunt last night issued the following statement after President Barack Obama's first address to Congress:
"President Obama's first address was a historic milestone for our nation and his presidency.
"I couldn't agree more with his assessment that while our country is facing great challenges, we also have the opportunity for great successes. On the issue of health care, President Obama and I share the common goal of creating a system that is more affordable and more available to all Americans. I have and will continue to reach out to his Administration in my role as chairman of the House health care task force. The solution is not a government-run system that would ration our health care options but a plan that puts Americans in control by focusing on the patient-doctor relationship.
"President Obama also renewed his desire to cut the deficit in half by the end of his term. This is a worthy goal, but one that is at odds with the massive spending package he signed into law last week and at odds with the omnibus - or ominous - spending package the House will consider this week.
"But more important than anything President Obama says tonight is what the budget he unveils will look like. Tax hikes during a recession or budget gimmicks are not the answers our nation needs. American families are making tough decisions and exercising real fiscal responsibility. The government must exercise that same level of discipline and there is no better time to start than right now."
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
"President Obama's first address was a historic milestone for our nation and his presidency.
"I couldn't agree more with his assessment that while our country is facing great challenges, we also have the opportunity for great successes. On the issue of health care, President Obama and I share the common goal of creating a system that is more affordable and more available to all Americans. I have and will continue to reach out to his Administration in my role as chairman of the House health care task force. The solution is not a government-run system that would ration our health care options but a plan that puts Americans in control by focusing on the patient-doctor relationship.
"President Obama also renewed his desire to cut the deficit in half by the end of his term. This is a worthy goal, but one that is at odds with the massive spending package he signed into law last week and at odds with the omnibus - or ominous - spending package the House will consider this week.
"But more important than anything President Obama says tonight is what the budget he unveils will look like. Tax hikes during a recession or budget gimmicks are not the answers our nation needs. American families are making tough decisions and exercising real fiscal responsibility. The government must exercise that same level of discipline and there is no better time to start than right now."
-----
www.fayettefrontpage.com
Fayette Front Page
www.georgiafrontpage.com
Georgia Front Page
Subscribe to:
Posts (Atom)