CBO Deficit Predictions 2004-2014 --$6.8 trillion
Jon Kofas writes: The Congressional Budget Office has released its budgetary deficit projections for the year and the decade. For fiscal year 2004 ending on September 30th the deficit will be $422 billion (or just about equal to the U.S. defense budget, excluding intelligence and Homeland Security), while the deficit for the balance of the decade will amount to $2.3 trillion, or $281 billion more than the previous CBO projection. The CBO focused on higher defense spending, including costs that will mount for both Iraq and Afghanistan in the next 10 years. If the Bush tax cuts are extended from 2011 to 2014, deficits will rise an additional $3.6 trillion for that period. And guess who receives the bulk of those tax cuts? There are people who see nothing wrong wih the combination of a defense policy that makes America less secure and breeds global political violence, and a fiscal policy designed to provide tax cuts to the top 5% of Americans who own more wealth than the bottom 90% of the people. There are also people who feel that borrowing from abroad, and sustaining deficits amounting to 3-4% percent of GDP is great policy and a great way to lead, because ultimately good things will come from deficit spending on defense and tax breaks to the rich. Meanwhile, socioeconomic polarization is widening in America, as is the North-South gap. Is this responsible and pragmatic policy for any regime, no matter what its ideological/political orientation?
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October 8, 2004