Scott Spiegel

“President Barack Obama unveiled a multitrillion-dollar spending plan Monday… that would boost the deficit to a record-breaking $1.56 trillion…

“The result is a budget plan that would give the country trillion-dollar-plus deficits for three consecutive years. Obama’s new budget projects a spending increase of 5.7 percent for the current budget year and forecasts that spending would rise another 3 percent in 2011 to $3.83 trillion…

“The administration is forecasting that deficits over the next decade will add an additional $8.5 trillion to the national debt, even if Congress adopts the administration’s package of proposals to trim future deficits starting in 2011…

“Republicans were not impressed with Obama’s deficit cutting, saying that it fell far short of the bold steps needed in light of the fiscal challenges the country is facing.

“‘This country is sinking into a fiscal quagmire,’ said Sen. Judd Gregg, the top Republican on the Senate Budget Committee. ‘These circumstances call for a bold, game-changing budget that will turn things around…’

“Obama’s job proposals would push government spending in 2010 to $3.72 trillion and increase that amount to $3.83 trillion in the 2011 budget year, which begins on Oct. 1.

“The deficit in 2011 would total $1.27 trillion, the third straight trillion-dollar-plus imbalance. The deficit would fall to $828 billion in 2012 but would remain at levels surpassing any previous deficits through 2020.

“The deficit for this year would be 10.6 percent of the total economy, a figure unmatched since the country was emerging from World War II. The administration does not trim the deficit below 3.6 percent of GDP for any year in the next decade, failing to meet its goal of lowering the deficit to 3 percent of GDP by 2015.”

http://news.yahoo.com/s/ap/20100201/ap_on_bi_ge/us_budget

Related posts:

1. Obama Budget, Jobs Plan Get Early Tests on Hill “President Barack Obama’s proposed budget… is getting an early test...
2. That Other Government Takeover: What Else May Go Into ‘Reconciliation’ “Everyone knows Democrats are planning to use the budget reconciliation...
3. Orszag: Large Deficits Not Obama’s Fault “OMB projects that the deficit will be about $90 billion...
4. Obama’s $3.8 Trillion Budget Heading to Congress “The Obama administration on Sunday endorsed spending an additional $100...
5. Michael Barone: Damn the Deficit – Full Speed Ahead on Health Care “[T]he trajectory of administration spending and revenue is pushing the...