November 15, 2011 – CBO Director Doug Elmendorf admitted to Senator Sessions that in the long run the stimulus will shrink the economy. He testified at a Senate Budget Committee hearing that the stimulus will indeed “be a drag on GDP” over the next ten years.
The chief economic culprit of President Obama’s Wednesday press conference was undoubtedly “corporate jets.” He mentioned them on at least six occasions, each time offering their owners as an example of a group that should be paying more in taxes.
“I think it’s only fair to ask an oil company or a corporate jet owner that has done so well,” the president stated at one point, “to give up that tax break that no other business enjoys.”
But the corporate jet tax break to which Obama was referring – called “accelerated depreciation,” and a popular Democratic foil of late – was created by his own stimulus package.
On the occasion of the notional end of the War in Iraq, Randall Hoven examines the popular liberal talking point that it was the Bush deficits incurred because of the Iraq War that wrecked the economy.
It was under Mr Bush that the deficit spiralled out of control as we fought an unnecessary and endless $3,000bn war in Iraq…”
– James Carville, the Financial Times.
“The Iraq adventure has seriously weakened the U.S. economy, whose woes now go far beyond loose mortgage lending. You can’t spend $3 trillion — yes, $3 trillion — on a failed war abroad and not feel the pain at home.”
– Linda J. Bilmes and Joseph E. Stiglitz, The Washington Post.
The correct [figure], according to the Congressional Budget Office, is $709 billion. The Iraq War cost $709 billion. Why Carville, Bilmes, and Nobel-winning economist Stiglitz thought the answer was $3 trillion is anybody’s guess. But what’s a 323% error among friends?
The CBO breaks that cost down over the eight calendar years of 2003-2010. [Above] is a picture of federal deficits over those years with and without Iraq War spending. …
No one will say that $709 billion is not a lot of money. But first, that was spread over eight years. Secondly, let’s put that in some perspective. Below are some figures for those eight years, 2003 through 2010.
* Total federal outlays: $22,296 billion.
* Cumulative deficit: $4,731 billion.
* Medicare spending: $2,932 billion.
* Iraq War spending: $709 billion.
* The Obama stimulus: $572 billion.
There is an important note to go along with that Obama stimulus number: the stimulus did not even start until 2009. By 2019, the CBO estimates the stimulus will have cost $814 billion.
If we look only at the Iraq War years in which Bush was President (2003-2008), spending on the war was $554B. Federal spending on education over that same time period was $574B.
So the following are facts, based on the government’s own figures.
* Obama’s stimulus, passed in his first month in office, will cost more than the entire Iraq War — more than $100 billion
* Just the first two years of Obama’s stimulus cost more than the entire cost of the Iraq War under President Bush, or six years of that war.
* Iraq War spending accounted for just 3.2% of all federal spending while it lasted.
* Iraq War spending was not even one quarter of what we spent on Medicare in the same time frame.
* Iraq War spending was not even 15% of the total deficit spending in that time frame. The cumulative deficit, 2003-2010, would have been four-point-something trillion dollars with or without the Iraq War.
* The Iraq War accounts for less than 8% of the federal debt held by the public at the end of 2010 ($9.031 trillion).
* During Bush’s Iraq years, 2003-2008, the federal government spent more on education that it did on the Iraq War. (State
and local governments spent about ten times more.)
“I said that I had thoroughly studied the U.S. president’s anti-crisis program, that I liked it, as well as that it is socially oriented and primarily aimed at supporting poor people and enhancing the state’s role. I said all this to President Obama.”
Tom Hoffman, at American Thinker, says that not only can it happen here, it already has.
Remember when “B1 Bob” Dornan lost his House seat to a woman named Sanchez? The election was stolen by Hermandad Nacional Mexicana a group that made a concerted effort to register illegal aliens. Since then, the art of rigging the vote has been refined and perfected by the likes of ACORN and other community activist organizations.
The modus operandi is clear. First, there must be a team of lawyers to challenge any efforts to determine voter eligibility. What we end up with here in California is “motor voter” registration. This means DMV workers urge anyone getting a driver’s license to go ahead and register to vote. Lawyers and Democratic state legislators have made it illegal to require documentation regarding immigration status; it’s the honor system. If an illegal feels uncomfortable lying to a bureaucrat at the DMV, he or she can apply by mail and receive an absentee ballot. This way they need not even have to show up at the polling place; just mail it in.
It’s just too easy to cheat. Of course, at the polling place there is no need to prove who you claim to be; honor system again. Sign in and vote with no questions asked. The lawyers and legislators paved the way for the “undocumented worker” to vote like a native born citizen by doing away with need to document anything, let alone citizenship. All that is necessary is a mailing address; and, no kidding, the same culprits are busy doing away with that so the “homeless” can now register.
Registering as many fraudulent votes as possible and making it as difficult as possible to disqualify voters is only front end of the strategy. Once an election has been made close enough to allow for disputes and recounts, whole new machinery has been put in place. Here is where the big money comes into play. The secretaries of state, whose duty it is to oversee the election process, must be beholden to the community activists. Large campaign donations to the secretary of state candidates assure the community organizers a voice in all “recounts”. Their squads of well-trained lawyers will likely get sympathetic rulings in their efforts to disqualify eligible voters and qualify the ineligible.
Is it any wonder that, as the rules get watered down again and again, the number of “get out the vote” organizations has multiplied? There has always been some fraud in our electoral system: but until recently, the scale has not been sufficient to succeed in stealing a national election. We’ve passed that line. Once passed, the line can never be redrawn.
ACORN is but one instance of a well financed nationwide effort to institute voter fraud. It is the financing of the likes of George Soros and the organizing skills of the likes of Bill Ayers that assures us of rigged elections from now on. Take the recent U.S. Senate election in Minnesota. The community activists registered thousands of new voters. Given that ACORN has already admitted to voter fraud (by mistake of course), it is certain a fair number of these were fraudulent. It is also certain that nearly all were Democrat votes. The Republican still managed to win by a few hundred votes on the initial count. The margin was too close to rule out a recount; mission accomplished for ACORN and their ilk. In come the lawyers to disqualify Republicans. With the full sympathy of the secretary of state, the radicals manage to turn the tide in favor of the Democrat; game, set, match.
With a proven game plan and large numbers of “community activist” organizations spread out across the country, all that is necessary to rig state and national elections from now on is a large and reliable source of funding. That has already been assured in the “Stimulus” bill. George Soros will now be helped by the U.S. Taxpayer; helped big time. Community activist organizations will find themselves flush with taxpayer cash. …
I suppose we could get Jimmy Carter to certify the fairness of the 2010 elections.
Chuckie Lemos, at the bolshie My DD blog, thought that Rick Santelli’s Chicago Board of Trade rant (4:57 video) was just typical of those white ethnic traders who attended all the wrong schools.
I spent a decade on Wall Street working for Alex. Brown & Sons, Deutsche Banc Securities and Goldman Sachs. I found Wall Street a largely liberal environment with one major exception, the trading floor. In my experience I found traders, who are largely white ethnics – Irish, Italian, Greek, Polish or Slovak among others- and graduates of the Seton Halls, the Boston Colleges, the Notre Dames, the Penn States were the most rabid conservative and foul mouthed people on the planet. Nor could any of them ever get my name right. “My name is Charles, not Chuckie” was something I would repeat whenever I had the misfortune to have to interact with them. Some of these folks made William Buckley appear moderate.
Don Surber admires the condescension of the elites who want to give away the money and take the bows toward the humble peons who actually earn it.
First you throw away $787 billion dollars on democrat party special interests, then you raise taxes on “the rich,” i.e., you, me, and Joe the Plumber, and finally you cut the Defense Budget.
After all, in 2008, with two wars underway, we spent the staggering sum of $667 billion (base budget of $480 billion and $187 billion in supplemental spending) on national defense. Why, we wasted almost as much money last year on defending the country as Obama spent in his first month in office on “community development” (i.e., ACORN), the National Endowment for the Arts, more welfare, green boondoggles, and fattening the wallets of politically connected construction companies.
President Obama is putting the finishing touches on an ambitious first budget that seeks to cut the federal deficit in half over the next four years, primarily by raising taxes on businesses and the wealthy and by slashing spending on the wars in Iraq and Afghanistan, administration officials said.
In addition to tackling a deficit swollen by the $787 billion stimulus package and other efforts to ease the nation’s economic crisis, the budget blueprint will press aggressively for progress on the domestic agenda Obama outlined during the presidential campaign. This would include key changes to environmental policies and a major expansion of health coverage that he hopes to enact later this year.
A summary of Obama’s budget request for the fiscal year that begins in October will be delivered to Congress on Thursday, with the complete, multi-hundred-page document to follow in April. But Obama plans to unveil his goals for scaling back record deficits and rebuilding the nation’s costly and inefficient health care system tomorrow, when he addresses lawmakers and budget experts at a White House summit on restoring “fiscal responsibility” to Washington. …
Even before Congress approved the stimulus package this month, congressional budget analysts forecast that this year’s deficit would approach $1.2 trillion — 8.3 percent of the overall economy, the highest since World War II. With the stimulus and other expenses, some analysts say, the annual gap between federal spending and income could reach $2 trillion when the fiscal year ends in September.
Obama proposes to dramatically reduce those numbers, said White House budget director Peter Orszag: “We will cut the deficit in half by the end of the president’s first term.” The plan would keep the deficit hovering near $1 trillion in 2010 and 2011, but shows it dropping to $533 billion by 2013, he said — still high but a more manageable 3 percent of the economy.
To get there, Obama proposes to cut spending and raise taxes. The savings would come primarily from “winding down the war” in Iraq, a senior administration official said. The budget assumes continued spending on “overseas military contingency operations” throughout Obama’s presidency, the official said, but that number is lower than the nearly $190 billion budgeted for Iraq and Afghanistan last year.
Obama also seeks to increase tax collections, mainly by making good on his promise to eliminate some of the temporary tax cuts enacted in 2001 and 2003. While the budget would keep the breaks that benefit middle-income families, it would eliminate them for wealthy taxpayers, defined as families earning more than $250,000 a year. Those tax breaks would be permitted to expire on schedule in 2011. That means the top tax rate would rise from 35 percent to 39.6 percent, the tax on capital gains would jump to 20 percent from 15 percent for wealthy filers and the tax on estates worth more than $3.5 million would be maintained at the current rate of 45 percent.
Obama also proposes “a fairly aggressive effort on tax enforcement” that would target corporate loopholes, the official said. And Obama’s budget seeks to tax the earnings of hedge fund managers as normal income rather than at the lower 15 percent capital gains rate.
Overall, tax collections under the plan would rise from about 16 percent of the economy this year to 19 percent in 2013, while federal spending would drop from about 26 percent of the economy, another post-World War II high, to 22 percent.