Back To Trillion Dollar Deficits

[deljzc]

Revenue:

2015 - $3.25T
2016 - $3.26T
2017 - $3.30T
2018 - $3.33T
2019 - $3.44T

Revenue has never gone down during Trump. The tax cuts didn't create the deficit. The increases from 2016-2018 was more than Obama's last year 2015 to 2016.

It is ALL a spending issue. Total spending:

2015 - $3.69T
2016 - $3.85T
2017 - $3.98T
2018 - $4.11T
2019 - $4.54T

How the hell are we spending $430 billion MORE this year than last year? Nancy Pelosi needs to answer that question. That is an 11% increase in spending in a year we had 2.5% growth.

I don't know how "tax cuts" is the problem here. Revenues look pretty steady. The idea "lost revenue" from tax policy is the problem when you look at the 5-year average is laughable.

This makes some of the democratic platforms even more crazy. They can't even contain spending NOW. What happens when they increase the size of government 50% with a medicare for all plan. Or college for all?

Even if they say their tax plan will increase now, imagine if both tax revenue was 50% higher and spending was 50% higher. You know what you get? A DEFICIT 50% higher with no change in GDP. We'd be talking $1.5 trillion in debt. Maybe even $2 trillion.

 

[Superman]

I just enjoy being that kettle who calls the pot black (with fond regards to my grandmother's gaggle of cliches')

<iframe src="https://giphy.com/embed/1O1bHxv9ZzuRo4B0cs" width="480" height="427" frameBorder="0" class="giphy-embed" allowFullScreen></iframe><p><a href="https://giphy.com/gifs/racist-thats-wonder-showzen-1O1bHxv9ZzuRo4B0cs">via GIPHY</a></p>

 

[Superman]

Revenue:

2015 - $3.25T
2016 - $3.26T
2017 - $3.30T
2018 - $3.33T
2019 - $3.44T

Revenue has never gone down during Trump. The tax cuts didn't create the deficit. The increases from 2016-2018 was more than Obama's last year 2015 to 2016.

It is ALL a spending issue. Total spending:

2015 - $3.69T
2016 - $3.85T
2017 - $3.98T
2018 - $4.11T
2019 - $4.54T

How the hell are we spending $430 billion MORE this year than last year? Nancy Pelosi needs to answer that question. That is an 11% increase in spending in a year we had 2.5% growth.

how much is actually tied into this impeachment **** show?

 

[oneforthebus]

Tax revenues are rising. But spending in rising faster. And will continue to unless there is entitlement reform,, which nobody wants to touch.

https://www.wsj.com/articles/tax-revenue-keeps-rising-11557691166


You wouldn’t know it from the press coverage, but there’s some modest good news about the federal budget. The deficit is rising, but not as much as feared because tax revenues are increasing due to faster economic growth.

The Congressional Budget Office reports in its April budget review that revenues rose 2% to $2.041 trillion in the first seven months of fiscal 2019 from a year ago. Payroll tax revenue rose 4.7% due in part to rising employment and wages.

Individual income taxes were essentially flat in the wake of the tax cut, but corporate income taxes were down only $7 billion for the first seven months to $114 billion despite the cut in the corporate tax rate to 21% from 35% in the 2017 tax reform. April was the deadline for final 2018 tax payments for most corporations, and tax revenue from higher corporate profits partly offset the lower rate.


Overall revenues increased despite a sharp decline in payments to the Treasury from the Federal Reserve of $15 billion, or 34%. The decline is due to higher short-term interest rates that lead the Fed to pay banks more interest on their reserves. Watch this account closely in the future if the Fed’s reserve payments become a net Treasury drain. This is one cost of the Fed maintaining a very large balance sheet.

So why has the federal deficit increased by $145 billion this fiscal year to $531 billion? Because federal spending continued to rise rapidly—7% in the first seven months to $2.571 trillion. That’s $178 billion more than in the same period a year ago. As you’d expect, Social Security benefit payouts rose 6%, Medicare outlays 5% and Medicaid 4%. Anyone who thinks federal deficits and debt can be contained without entitlement reform probably still believes in the Russian collusion story.

Defense spending rose 10%, or $33 billion, in the first seven months, as intended by Congress and the White House after eight years of neglect under Barack Obama. The higher outlays went for much-needed operations and maintenance and R&D. Outlays for the Pentagon are still only about 3.2% of GDP, which is close to the historic low since World War II.

Interest payments on federal debt held by the public rose 13% to $234 billion, due to higher short-term interest rates and more debt. The Fed’s zero-rate policy disguised the size of the debt’s budget burden during the Obama years, but it is now coming due.

The media blame deficits on tax reform, but the facts show the main culprit is spending. No one in the political class wants to talk about entitlements but that’s where the money is.

 

[oneforthebus]

And I love that the same people who want the government to pay for healthcare, preschool, college tuition, eliminating student debt and the "Green New Deal" are also screaming about the deficit.

You ain't seen nothing yet if a Dem gets elected.

 

[Badcat]

No No NO!!! The RICH will finally pay their fair share and pay for it all!!

 

[deljzc]

Revenue:

2015 - $3.25T
2016 - $3.26T
2017 - $3.30T
2018 - $3.33T
2019 - $3.44T

Revenue has never gone down during Trump. The tax cuts didn't create the deficit. The increases from 2016-2018 was more than Obama's last year 2015 to 2016.

It is ALL a spending issue. Total spending:

2015 - $3.69T
2016 - $3.85T
2017 - $3.98T
2018 - $4.11T
2019 - $4.54T

How the hell are we spending $430 billion MORE this year than last year? Nancy Pelosi needs to answer that question. That is an 11% increase in spending in a year we had 2.5% growth.

I don't know how "tax cuts" is the problem here. Revenues look pretty steady. The idea "lost revenue" from tax policy is the problem when you look at the 5-year average is laughable.

This makes some of the democratic platforms even more crazy. They can't even contain spending NOW. What happens when they increase the size of government 50% with a medicare for all plan. Or college for all?

Even if they say their tax plan will increase now, imagine if both tax revenue was 50% higher and spending was 50% higher. You know what you get? A DEFICIT 50% higher with no change in GDP. We'd be talking $1.5 trillion in debt. Maybe even $2 trillion.

Also notice that at least in the two years Trump and Republicans had the House (2016 to 2018) spending went up $130 billion and $130 billion in each of those years. While revenue went up $40 billion and $30 billion. Now we all complained about that back when we did the spending omnibus bill or whatever. That was right before Trump was going to tackle DACA and Immigration before the courts ****** him and we all said at the time that he agreed to some increase in spending to prime the pump for the big fight over immigration.

That never happened.

But holy JESUS CHRIST! Democrats get into the House and in one ******* year they increase spending $430 billion!!??? That's MORE INCREASE than the previous FOUR YEARS COMBINED

Something is ****** up. Maybe something is wrong. Maybe the website I looked at is exaggerating the spending number to make the deficit look worse than it is and thus try to shame Trump.

I don't get it.

 

[Steeltime]

Right! If public and private debt are both skyrocketing, how is the economy considered to be great rather than fake?

Debt is not measured purely in static numbers. A guy who earns $600,000 per year can comfortably afford a $500,000 mortgage and its $3,200 per month payment.

A guy who earns $30,000 per year cannot afford a $250,000 mortgage and its $1,600 per month mortgage.

Further, the greatest true debts (excluding mortgage, which is a debt that pays for itself several times over in the long run) Americans hold are credit card debt and student loan debt. Congress has made credit card debt almost impossible to eliminate, including by bankruptcy, due to the companies' iron special interest grip. Student loan debts are massive because the cost for post-high school education has exploded, due to the Fed financing the debt, and students with garbage degrees cannot pay off the massive debt for a degree in lesbian dance theory while working part-time at Starbucks.

Genuine solution? Let consumers void credit card debt via bankruptcy and those miserable companies would be much more careful in extending unsecured credit, knowing the risk, and make colleges the guarantor of student debt. You want to charge a student $180,000 for the lesbian dance theory degree? Fine. Put your money where your mouth is and back it up.