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Bush Deficit vs Projected Obama Deficit
Image Credit: Washington Post
Excerpt from the Heritage Foundation:
President Obama has framed his budget as a break from the "failed policies" of the Bush Admin istration. Actually, his budget doubles down on President George W. Bush's borrow, spend, and bail out policies. For example:
President Bush expanded the federal budget by a historic $700 billion through 2008. President Obama would add another $1 trillion.
President Bush began a string of expensive financial bailouts. President Obama is accelerating that course.
President Bush created a Medicare drug entitle ment that will cost an estimated $800 billion in its first decade. President Obama has proposed a $634 billion down payment on a new govern ment health care fund.
President Bush increased federal education spending 58 percent faster than inflation. Presi dent Obama would double it.
President Bush became the first President to spend 3 percent of GDP on federal antipoverty programs. President Obama has already in creased this spending by 20 percent.
President Bush tilted the income tax burden more toward upper-income taxpayers. President Obama would continue that trend.
During his presidential campaign, President Barack Obama promised the American people a "net spending cut."1 Instead, he signed a "stimulus" bill that spends $800 billion, and he has proposed a budget that would:
Increase spending by $1 trillion over the next decade;
Include an additional $250 billion placeholder for another financial bailout;
Likely lead to a 12 percent increase in discretion ary spending;
Permanently expand the federal government by nearly 3 percent of gross domestic product (GDP) over pre-recession levels;
Raise taxes on all Americans by $1.4 trillion over the next decade;
Raise taxes for 3.2 million taxpayers by an average of $300,000 over the next decade;
Call for a pay-as-you-go (PAYGO) law despite offering a budget that would violate it by $3.4 trillion;
Assume a rosy economic scenario that few econo mists anticipate;
Leave permanent deficits averaging $600 billion even after the economy recovers; and
Double the publicly held national debt to over $15 trillion ($12.5 trillion after inflation).