task0778
Diamond Member
Reporters, political onlookers, and commentators are all speculating over the fate of the $3.5+ trillion āhuman infrastructureā spending planāwhich funds sweeping climate change schemes, unprecedented welfare expansions, and moreāproposed by President Biden and his allies in Congress. Moderate Democrats like Sens. Joe Manchin and Krysten Sinema are on the record arguing that $3.5 trillion is too much money. Some speculate that a ācompromiseā of $1.5 trillion could be reached. Yet progressives like Rep. Alexandria Ocasio-Cortez and Sen. Bernie Sanders are threatening to blow everything up if they donāt get the full spending package.
Hereās whatās being overlooked in this entire debate. While $3.5 trillion is already an astonishingly huge price tagāit equates to $24,000 per federal taxpayer and would require massive tax hikesāthe proposal on offer does not actually cost $3.5 trillion. This figure is a vast underestimate of its true cost.
āDemocrats are grasping for ways to finance their cradle-to-grave welfare state, with the left demanding what they claim is $3.5 trillion over 10 years,ā the Wall Street Journal editorial board writes. āThe truth is that even that gargantuan number hides the real cost of their plans.ā
āThe bills moving through committees are full of delayed starts, phony phase-outs, and cost shifting to states designed to fit $3.5 trillion into a 10-year budget window that can pass with a mere 51 Senate votes,ā the Journal explains. āEven if the bill[ās official price tag] shrinks to $2 trillion or less, the real costs will be far greater. Behold one of the greatest fiscal cons in history.ā
Simply put, the proposed legislation uses budget gimmicks and unusual timelines to make it seem like theyāre spending less than they likely would spend in actuality if implemented. According to the nonpartisan Committee for a Responsible Federal Budget, the true cost of the plan is likely closer to $5 trillion.
www.crfb.org
āWe estimate the policies under consideration could cost between $5 trillion and $5.5 trillion over a decade, assuming they are made permanent,ā the organization reports. āIn order to fit these proposals within a $3.5 trillion budget target, lawmakers apparently intend to have some policies expire before the end of the ten-year budget window, using this oft-criticized budget gimmick to hide their true cost.ā
www.wsj.com
Once enacted, spending policies do not really expire. Washington doesn't have the balls to do that, so whatever spending approved is likely going to be permanent. IOW, we are being lied to and conned by the democrats. They do it every time; overestimate the required revenue to pay for what they want, and also underestimate the true cost.
Hereās whatās being overlooked in this entire debate. While $3.5 trillion is already an astonishingly huge price tagāit equates to $24,000 per federal taxpayer and would require massive tax hikesāthe proposal on offer does not actually cost $3.5 trillion. This figure is a vast underestimate of its true cost.
āDemocrats are grasping for ways to finance their cradle-to-grave welfare state, with the left demanding what they claim is $3.5 trillion over 10 years,ā the Wall Street Journal editorial board writes. āThe truth is that even that gargantuan number hides the real cost of their plans.ā
āThe bills moving through committees are full of delayed starts, phony phase-outs, and cost shifting to states designed to fit $3.5 trillion into a 10-year budget window that can pass with a mere 51 Senate votes,ā the Journal explains. āEven if the bill[ās official price tag] shrinks to $2 trillion or less, the real costs will be far greater. Behold one of the greatest fiscal cons in history.ā
Simply put, the proposed legislation uses budget gimmicks and unusual timelines to make it seem like theyāre spending less than they likely would spend in actuality if implemented. According to the nonpartisan Committee for a Responsible Federal Budget, the true cost of the plan is likely closer to $5 trillion.
True Cost of Budget Plan Could Exceed $5 Trillion | Committee for a Responsible Federal Budget
2021-07-19-The Senate may soon move forward on reconciliation instructions to allow for the enactment of
āWe estimate the policies under consideration could cost between $5 trillion and $5.5 trillion over a decade, assuming they are made permanent,ā the organization reports. āIn order to fit these proposals within a $3.5 trillion budget target, lawmakers apparently intend to have some policies expire before the end of the ten-year budget window, using this oft-criticized budget gimmick to hide their true cost.ā
Opinion | $3.5 Trillion Is a Phony Number
Budget tricks disguise the true cost of Bidenās vast entitlement plans.
www.wsj.com
Once enacted, spending policies do not really expire. Washington doesn't have the balls to do that, so whatever spending approved is likely going to be permanent. IOW, we are being lied to and conned by the democrats. They do it every time; overestimate the required revenue to pay for what they want, and also underestimate the true cost.
