No surprise, in a rational world this would be the time to re-trench, in Obama world the solution is to spend a couple trillion more and threaten the middle class with tax increases.
via HA:
As pointed out at Hot Air, this would explain why Obama delayed releasing of his budget until he could hopefully get his reform bill passed. His delusional predictions would undercut what little credibility he has in regards to false health care arguments.WASHINGTON – The recession is starving the government of tax revenue, just as the president and Congress are piling a major expansion of health care and other programs on the nation's plate and struggling to find money to pay the tab.
The numbers could hardly be more stark: Tax receipts are on pace to drop 18 percent this year, the biggest single-year decline since the Great Depression, while the federal deficit balloons to a record $1.8 trillion.
Other figures in an Associated Press analysis underscore the recession's impact: Individual income tax receipts are down 22 percent from a year ago. Corporate income taxes are down 57 percent. Social Security tax receipts could drop for only the second time since 1940, and Medicare taxes are on pace to drop for only the third time ever.
The last time the government's revenues were this bleak, the year was 1932 in the midst of the Depression."Our tax system is already inadequate to support the promises our government has made," said Eugene Steuerle, a former Treasury Department official in the Reagan administration who is now vice president of the Peter G. Peterson Foundation.
"This just adds to the problem."
While much of Washington is focused on how to pay for new programs such as overhauling health care — at a cost of $1 trillion over the next decade — existing programs are feeling the pinch, too.
Social Security is in danger of running out of money earlier than the government projected just a few month ago. Highway, mass transit and airport projects are at risk because fuel and industry taxes are declining.
The national debt already exceeds $11 trillion. And bills just completed by the House would boost domestic agencies' spending by 11 percent in 2010 and military spending by 4 percent.
Update:
Obama admin in Full Damage Control Mode over tax increases.
It is no suprise Mr Geitner the Federal Reserve guy wants more taxes. The Federal Reserve should not just be audited, it should be closed,banished from the United States for corruption and currency manipulation.
ReplyDeleteMr Geitner wants to raise taxes and already said so publically.
Mr Gitner as we all remember owed back taxes in the sum of $140,000.00 for several years and when appointed to his current position of head of the US treasury the media exposed him.
He then paid the taxes in full.He did not even pay his taxes when he was head of the IRS.
You do not owe the IRS 140 grand and not know it. If it was one of us, the IRS would have siezed your home and prosecuted us.
I hope the American public see's what is going on in the White house and why this guy was appointed.
That makes me question the president, why would he appoint someone from the Federal Reserve to head up our Treasury.The last got that was head of OUR treasury was Mr Paulson from Goldman Sacs and we all know what they are about now and Mr Paulson took the job that paid $160,000 a year while he is worth 600 Million.
Now why does someone with 600 Million dollars take a 160 grand job. The corruption reeks all the way to the White house and Federal reserve and congress that by the way has the lowest Citizen approval rating in the History of America.
It is past time Americans not only start asking questions, but rather start demanding answers.
There is a March on washington September 12th that has just exploded all over the internet. So far 6 MILLION people have RSVP'd. This is shaping up to be the largest March on Washington in the history of America.
YOUTUBE - We the people stimulus package.
Now has over 7 MILLION views.
People everywhere are talking REVOLUTION and time to physically throw the bums out of office and charge them with Treason and crimes against the American people.