Spending cuts results in more spending

[LilOlLady]

SPENDING CUTS RESULTS IN MORE SPENDING



I am a 72 year old senior disabled with MS confined to at power chair that has been deemed unsafe by physical therapist and Medicare will not replace it until Nov. 2012. On social security, Medicare and Medicaid. Seniors have to wait longer to collect social security and hopefully they will die before collecting. I did not get a COLA for the past two year. Energy assistance as has been cut. Section 8 has been closed indefinitely. Spending cuts are cutting home healthcare for the disable that allowed them to stay in their homes. Funding to public schools has been cut and funding for vouchers for private schools has been increased. Public education cut to 4 days. Head Start eliminated. Tuitions have been raise and many classes eliminated. Cuts in unemployment. Cuts in homeless shelters. Anymore cuts for seniors and I will be homeless.



Most of GOP spending cuts will affect seniors, students, disabled, unemployed, homeless and veterans.



GOP spending cuts will cut services that will cut jobs that will cut tax revenue and will result in more spending because the unemployed do not buy from businesses and if businesses are not selling they will lay off people resulting in more on unemployment, no taxes and more spending. GOP spending cut will cut jobs and not create jobs. If $60 billion is cut from spending, how many jobs will be lost, how much taxes will be lost and how much will the spending cut cost.

Spending cut of $60 billion will not put a dent in the budget and pay down the budget and create jobs. That just do not add up.



The unemployed from spending cuts will collect unemployment, food stamps, free healthcare in country clinics and results is more government spending.



When you cut gov’t jobs through cutting gov’t spending it creates a domino effect and private sector job are lost because unemployed public employers will not have money to purchase and business will lose revenue and lay off people and those unemployed is in the same position as the laid off public employees.

Cutting government spending results in more government spending.



GOP spending cuts will cost more then it saves and will do nothing to balance the budget and pay down the deficit and create jobs and will result in more government spending. It will add to the deficit and send us into a depression and nothing but a tax raise across board will bring us out of it.



Bush tax cuts, borrowing to finance two wars created the deficit and upset the budget. Obama is bring us out and the GOP extending tax cuts and cut government spending will extend the recession. And Obama will be blamed.



The deficit is growing not because of spending but because tax cuts.



Cutting government spending on entitlement programs for the poor alone will not balance the budget and pay down the deficit, taxes across board will eventually be needed. If Bush’s tax cut has been allowed to expire we would be well on our way to economic recover.

States are cutting spending and finding that is not enough and they are raising taxes across board anyway.



Analogy;

If I am laid off my job because of budget cuts, I will not be paying taxes, and I will have to collect

unemployment which will be cut and I will have to apply for food stamps and go to free county health clinics and get free medications, (paid for by the government)I will not be purchasing anything but food and shelter. And maybe not that because I will move back in with my parents.



People who approve with GOP spending cut do not fully understand how it will affect them.



Cutting government spending, federal or state, will result in more government spending. Do the math.

 

[waltky]

Granny says it sounds kinda goofy to her...

Spending Cuts Not Expected to Dent $1.5 Trillion Deficit
Apr 12, 2011 – WASHINGTON -- The $38 billion in spending cuts agreed to last week won't prevent this year's budget deficit from setting another record high, estimated at $1.5 trillion.

Most of the agreed-to spending cuts either affect future budgets or amount to accounting gimmicks that won't reduce actual spending. The Treasury Department reported Tuesday that the deficit already totals $829.4 billion through the first six months of the budget year - a figure that until 2009 would have been the biggest ever for an entire year. For March alone, the government ran a deficit of $188 billion.

President Barack Obama and congressional Republicans averted a government shutdown last week by agreeing to the largest-ever spending cuts for a single year. But David Wyss, chief economist at Standard & Poor's in New York, said those cuts amount to a "rounding error" in this year's deficit. The cuts include unspent money from the 2010 census, which is completed, and $2.5 billion from the most recent repeal of highway programs that can't be spent because of restrictions set by other legislation. They also include $3.5 billion in unused bonuses for states that enroll more children in a health care program for lower-income families.

Wyss expects the deficit will surpass the record of $1.41 trillion hit in 2009. The nonpartisan Congressional Budget Office raised its estimate earlier this year from $1.1 trillion to $1.5 trillion. A tax-cut package negotiated in December by Obama and Republicans, which includes a one-year reduction in the Social Security payroll tax, prompted the CBO to raise its estimate. The ballooning deficit is certain to give Republicans leverage in future spending debates, starting with the upcoming vote to raise the government's borrowing authority above $14.3 trillion.

The Treasury has told Congress that it must vote to raise the debt limit by summer. Without an increase, the government would not be able to meet its current debt payments, resulting in an unprecedented default on its debt. Republicans hope to use vote on the debt limit to force Obama to accept long-term deficit-reduction measures. A big fight looms over the 2012 budget, which will center on House Republicans' plan to cut $5.8 trillion over 10 years by making sweeping changes to Medicare and Medicaid. Obama is scheduled to deliver a speech Wednesday in which he will outline his own goals to achieve long-term deficit reductions.

MORE

See also:

Sen. McCain: ‘Unless We Enact Draconian Measures,’ America Faces a ‘Fiscal Meltdown’
Tuesday, April 12, 2011 – Senator John McCain (R-Ariz.) said that “unless we enact draconian measures,” America is headed for a “fiscal meltdown.”

“We are at a critical juncture in American history that unless we enact draconian measures, then the results are very obvious, and that is a fiscal meltdown. No country can borrow 40 cents out of every dollar it spends – even the largest and most powerful nation in the world. No nation can continue on that track. So, tough medicine is required,” McCain said during a press conference at the U.S. Capitol on Tuesday. McCain said the United States faces a fiscal situation similar to Greece, Spain and Ireland.

“I noted with some interest when Greece and Spain and now Ireland and other countries faced a severe financial meltdown,” he said. “The first thing that had to be cut was entitlements and benefits. What’s the difference between the United States and these countries? We’re just not there yet but we’re headed on that path.”

“I know of no economist outside of those, the most liberal that believe that we’re on anything but an unsustainable path and unless we make these significant cuts and savings then the first to go, once you’re in a crisis, are the very programs that so many of us say we’re dedicated to saving.” He continued, “People who had spent all their whole lives contributing to Social Security and to Medicare -- those will be in danger if we experience a fiscal meltdown. We’re on a spending spree and I’m not going to point fingers at who’s responsible. That’s for others to do – and I will do from time to time myself.”

Source

 

[waltky]

Obama gettin' out his straight-razor...

Obama: I'll cut $4 trillion
April 13, 2011 -- It was more than the naysayers were expecting, but less than what many deficit hawks had hoped. President Obama on Wednesday articulated his most ambitious plan yet for reining in the nation's debt. He laid down a series of spending and deficit targets for lawmakers to adhere to in the coming decades -- and summoned congressional leaders to take part in a budget summit in early May.

A number of his proposals echo in whole or in part recommendations put forth by his bipartisan debt commission, which completed its work in December. Obama also laid out additional savings on top of what would be achieved by freezing non-security discretionary spending in his 2012 budget request. And, as predicted, he called for the Bush-era tax cuts to expire for the wealthy but more broadly called for the individual tax code to be overhauled. Here's a look at some of the highlights from the president's debt-reduction framework.

Tackling the debt

Cut deficits by $4 trillion over 12 years: That's two years longer than what his debt commission's recommendations would achieve. But like the commission, the White House estimates that spending would account for the bulk of deficit reduction. Obama says he wants $3 in spending cuts for every $1 in additional tax revenue. He also said he supports a "debt failsafe" trigger that would be activated if Congress fails to enact fiscally sound budgets. His target: Annual deficits that are no more than 2.8% of GDP, on average, starting in the second half of this decade. Of late, annual deficits have been close to 10%.

If by 2014, the projected total debt as a percentage of the economy is not shown to be on a downward trajectory by the end of the decade, the measure would trigger an across-the-board spending reduction in most parts of the budget and among the many tax breaks that are akin to spending. Three areas would be exempt from the trigger: Social Security, Medicare benefits and low-income programs. It's not clear where debt held by the public as a share of GDP would end up by 2023. Currently it's on track to top 100%, up from 62%.

Convene a budget summit:

See also:

Obama's Increasing Federal Debt at Rate of $1,148 Per Month Per Household—Enough to Buy a Car or Pay Tuition at State College
Wednesday, April 13, 2011 - Under President Barack Obama, the federal debt has been increasing at a rate of $1,148 per month per American household.

Overall, according to the U.S. Treasury, the federal debt increased by $3,646,116,554,704.36 between Jan. 20, 2009, when Obama was inaugurated, and April 13, 2011, when he gave a major speech announcing a plan to deal with the debt. Given that the Census Bureau estimated in March that there are 117,538,000 households in the United States, the $3.6461 trillion increase in the debt under Obama works out to $31,020 per household.

Obama has now been in office 27 months. The $31,020 per household increase in the federal debt under his watch thus equals a per-household increase of $1,148 per month. That $1,148 per month per household is more than a household would need to finance the monthly payments on a new domestically manufactured automobile.

According to figures published by the College Board, the $31,020 per-household increase in the national debt under Obama also equals more than the average tuition and fees for one year at a private four-year college and more than four full years of average in-state tuition and fees at a state college. “Public four-year colleges charge, on average, $7,605 per year in tuition and fees for in-state students,” says the College Board.

“Private nonprofit four-year colleges charge, on average, $27,293 per year in tuition and fees,” says the College Board. For the $31,020 per household the federal government has borrowed since Obama became president, it could have paid one full year of the average tuition at a private college for every household in country and still had $3,727 left over.

Source

 

[waltky]

Granny says dat's a lotta money fer dem politicians to be spendin'...

CBO and OMB Agree: Federal Spending Will Top $4T for First Time This Year
July 6, 2017 - Both the Congressional Budget Office and the White House Office of Management and Budget project that federal spending will top $4 trillion for the first time in fiscal 2017, which began on Oct. 1, 2016 and will end on Sept. 30.

In its “Update to the Budget and Economic Outlook: 2017 to 2027” published last week, CBO projected that total federal spending in fiscal 2017 will hit $4,008,000,000,000. That is up from the approximately $3,853,000,000,000 that CBO and OMB say the federal government spent in fiscal 2016.

In President Donald Trump’s fiscal 2018 budget proposal, the OMB estimates that federal spending in fiscal 2017 will hit $4,062,000,000,000. The $4,008,000,000,000 the CBO estimates the federal government will spend this fiscal year equals $33,805 for each of the 118,562,000 households the Census Bureau estimated were in the United States as of March.

CBO and OMB Agree: Federal Spending Will Top $4T for First Time This Year