Deficit Grew by $181 Billion in July Alone!
A new report came out by the CBO this evening that shows the budget deficit in July at a staggering $181 billion dollars! This is one month mind you, not 6 months or even an entire year!
It’s clear that our government officials are completely out of control in regards to spending. This type of deficit is unprecedented, and must be stopped!
An excerpt from Walter Alarkon’s article in the hill.com explains the madness below…
Bailouts for financial firms and billions in tax revenue lost because of the recession drove the deficit to a record $1.3 trillion in July, according to the independent Congressional Budget Office (CBO).
Tax receipts that have fallen due to the poor economy and increased spending to save car companies, banks and mortgage firms were major contributors to the federal deficit, according to CBO, which provides official budget numbers for Congress. The federal deficit grew by another $181 billion in July.
Falling tax receipts and increased spending on bailouts for auto companies and the financial sector and for the economic stimulus package added to the deficit, according to CBO, which provides official budget numbers for Congress.
Spending through July of 2009 has increased by $530 billion, which is 21 percent over the same period in 2008. The bailout money for Freddie Mac and Fannie Mae accounted for almost half of the spending increase. Unemployment benefits have more than doubled, Medicaid spending has grown by a quarter and Medicare spending has increased by 11 percent.
Tax revenue for the first three quarters of 2009 has fallen by approximately $350 billion, or 17 percent compared to the same period last year, due mostly to the effects of the recession on payroll, income and corporate taxes. A third of the decline is due to tax breaks in the stimulus, including the middle-class tax cut that President Obama campaigned on during last year’s election.
The independent budget scorekeeper has projected the deficit to reach $1.8 trillion by the end of the fiscal year, Sept. 30. The deficit in 2008 reached $455 billion, which was a record at the time.
Completely unbelievable, that a single President in one year could find a way to nearly quadruple the deficit in so short a time… Not to mention the deficit was a record the year earlier. Can you imagine the total government deficit when his 4 years are up? - I don’t even want to think about it.
This is scary stuff for our children and grandchildren. Unless this type of ‘out of control’ spending is reversed, the tax load on our posterity will be unbearable.
2010 elections cannot come soon enough! Let’s vote these bums out, and turn this around.
Cheers Thinking Patriots,
Jason
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