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  • The AP Fact Checks Obama

    The AP’s Calvin Woodward has an item out today challenging some of the assertions President Barack Obama made in his press conference last night:

    OBAMA: “In this budget, we have made the tough choices necessary to cut our deficit in half by the end of my first term even under the most pessimistic estimates.”

    THE FACTS: Not all credible estimates foresee a deficit halved in that time.

    Obama’s budget forecast a deficit of $530 billion by the end of 2013. That would cut by half the deficit he inherited at the start of his term. To succeed, Obama is counting on a recovered economy, a tax boost for the rich and success in easing foreign entanglements. But his assertion that he can accomplish that “even under the most pessimistic estimates” flies in the face of an answer he gave moments later.

    The Congressional Budget Office forecasts that Obama’s spending plan would leave a deficit of $672 billion by the end of 2013. Explaining the differences between his projections and CBO’s, Obama said his administration projects a higher growth rate.

    ___

    THE CLAIM: “Our assumptions are perfectly consistent with what blue-chip forecasters out there are saying.”

    THE FACTS: The Obama administration’s economic growth projections are more optimistic over the next five years than those of the Blue Chip Consensus, a monthly average of 50 economic forecasts from the private sector.

    The Blue Chip projection is for a deeper contraction this year than is foreseen by the administration — 1.9 percent versus 1.2 percent. Then it foresees growth of only 2.1 percent next year, instead of 3.2 percent, and less than 3 percent in each of the next three years, when the administration’s forecasts are for 4 percent or better.

    After 2015, the blue chip forecast is a little brighter than the administration’s.

    ___

    THE CLAIM: Obama repeated his assertion that his housing bailout will help “stabilize the housing market and help responsible homeowners stay in their homes.”

    THE FACTS: Even officials in his administration, many supporters of the plan in Congress and the Federal Reserve chairman have said some of the bailout money is bound to go to those who acted irresponsibly.

    Fed Chairman Ben Bernanke has said it’s important for the nation to go ahead with the plan even though it means assistance will go to some who should have known better than to get in over their heads.

    Sheila Bair, head of the Federal Deposit Insurance Corp., made a similar point when she said it’s “simply impractical” to examine every delinquent loan and weed out those taken by people who overstated their income or assets to get a mortgage they couldn’t afford.

    ___

    THE CLAIM: Responding to Republican critics in Congress who say his proposed budget carries an irresponsible deficit, Obama said, “I suspect that some of those Republican critics have a short memory, because, as I recall, I’m inheriting a $1.3 trillion deficit, annual deficit, from them.”

    FACT: Obama inherited a whopper of a deficit, much of it due to policies and spending led by Republican President George W. Bush. But the Congress, which authorizes spending and is not blameless in driving up deficits, was controlled by Democrats in the last two years of Bush’s presidency.

    Posted in Ongoing Priorities [slideshow_deploy]

    18 Responses to The AP Fact Checks Obama

    1. Marcia Picou, Baton says:

      I believe that any Congress person who voted for authorizing the stimulus plan without reading it, which will very likely waste billions upon billions of dollars, if not trillions (by the time interest is added in during payback time), should be held more accountable than the employess at AIG who received bonuses . I believe we could turn our country back towards being a democratic Republic by three things: Beginning term limits for congressional people, limiting any raises and perks for congress – only the American people should be allowed to vote for this, and institution of the FairTax.

      I also wish that Obama and the current administration would stop whining about what they "inherited" – they HELPED to create the inheritance.

    2. Charlene Bulko Fai says:

      I am so upset with the type of people that are

      in the Democratic Congress. Growing up in this

      wonderful country it sickens me to see the things

      that they are doing to make this country less strong and less proud. I pray that we will be able to stop this power grab and the socialist

      president we seem to be stuck with.

    3. Keith somewhere in t says:

      Readers,

      Prepare to win elections next term. Also, pray to Jehovah God for those in authority. That's how meaningful change will come to the USA.

    4. Jo Schneeweis says:

      It seems impractical to figure on what the future may hold and a little wreckless to rely on prediction. We can't even get the weather right three days out, what makes anyone think they can predict a trend or budget with any accuracy.

      It is sad to see the media forecasting doom and gloom every single day. What ever happened to real journalism that told a story? Must we knit-pick every word out of someone's mouth just to have something to write about? Yes, the economy is bad: we get it. Yes, we should be finding a better way to deal with the problems. Instead of hatcheting people to death in the media why not try coming up with solutions so the rest of us can bludgeon your ideas in public? If you aren't a part of the solution, you are the problem. Focus on the positive. It's out there.

    5. Karl Olson, Nampa, I says:

      Watching the national news is like watching a horror movie. It is unbelieveable that congress can vote on a stimulus bill, which is not stimulus and not read it first. Every day a new spending program with money that is not there to spend. The way this administration is headed is socialism and dictatorship with no concern or upholding the Constitution of this great country.

      Now we hear of global currency. What next?

      It is time to stop this run away train and return to the priciples of the Constitution.

      America is the greatest country in the world and

      and we must protect it with our lives.

      Congress has been dysfunctional for years and it is my hope that the members will develop and enact laws that represent the people, not self interest.

    6. mike baker Dallas Ce says:

      I wonder what the Democrats in Congress really think when they hear their mouthpiece complain about what he inherited. How do they keep getting away with the innocent by-stander act?

    7. Jerome Zacny says:

      Mr. Obama has unveiled a budget so large that even the Office of Budget Management can't estimate how many trillions are involved, nor how big the deficit will be four years from now. Undaunted, in his recent press conference, Mr. Obama has repeatedly promised to cut the deficit in half by that time. Yet not one of the "news people" in attendance asked him "How?".

      Granted, the question would have been rhetorical, as everyone knows the answer. The only way to reduce massive deficits is through massive tax increases.

      Mr. Obama has promised, numerous times, that families earning under $250,000 annually would not see an increase in their taxes. The American public will soon be educated by Mr. Obama and his minions, as they elevate parsing of words to an art form, which will surpass even Mr. Clinton's attempt to define the word "is".

      Those with family incomes of less than $250,000 will see increases in the amount of tax they pay for FICA, Medicare, on telephone usage, gasoline usage, natural gas usage, electricty usage and on all of the goods and services they purchase from companies that produce these goods and services (otherwise known in Washington as greedy American business). When this happens and those earning less than $250,000 say "what happened?", it will be patiently explained that "we only said that your Federal income tax wouldn't be increased, we never said that we wouldn't tax everything you need to live".

      Mr. Obama believes that he will be able to lead American out of long term deficits by "reforming healthcare". It is very popular in Washington to blame the increasing cost of healthcare on " greedy insurance companies" and saying the only way to fix things is to turn the system over to the government. As one who has been employed in the health insurance market for over forty years, I can point to a time in the late 1960s when there were well over 100 insurance companies selling group medical insurance to employers. Today there are less than a dozen. With all of those "unconscienable profits" available, wouldn't it make sense that the number of insurance companies selling group medical insurance would be growing instead of shrinking?

      Another thing I have witnessed is the success of governmental insurance programs. Medicare came on the scene in 1966 and every year since its inception the government has increased the deductibles of Medicare parts A and B and instituted a scheme of Diagnostic Related Groups (DRGs) wherein providers are limited to what they can charge Medicare patients. This of course led to the development of Medicare Supplement plans, purchased from insurance companies on the open market. As the government annually increased deductibles of A & B, the Supplements had to cover those increasing deductibles, leading to premium rate increases. Hospital administrators who had to accept lower payments from Medicare still needed the same amount of money to run their hospitals and increased the charges to non-Medicare patients to recover the annually reduced payments from Medicare.

      Over the past forty years there has been an endless series of demands by the Federal government placed on employers who offer health plansd to their employees. TEFRA, DEFRA, ADEA, ADA, COBRA, HIPPA, HIPPA Privacy, Mothers & Newborns Act, COBRA Subsidy, Mental & Nervous Parity Act and this doesn't include the myraid of similar legislation imposed by the various states, all of which were mandated with only the highest altruistic motives. The cost of such altruism however, is not without substantial additional cost. As medical science advances, so too will the demands that such advances (and the cost for them) be covered under medical policies.

      Today's current wisdom calls on the public to become better educated consumers of health care and to be shoppers for the best deal. Let me ask you, when your child is diagnosed with a serious illness are you going to shop around for the doctor whose treatments are the least expensive, or are you going to shop for the most experienced doctor in the field, noted for the most successful outcomes? Which option do you think that national, governmental health care is going to pay for?

      The government is one of the primary reasons that health care costs keep going up. They won't stop interfering with the delivery of health care. The government complains of the inefficiencies of the private sector health care delivery system, but how much of those inefficiencies do you suppose were caused by the very government now criticizing them? The endless number of forms that must be completed by doctors, hospitals and insurance companies when billing for services and sent to the government. The rules and regulations promugated by the federal government with respect to their latest demand that employers pay for 65% of COBRA premiums for nine months, applying retroactively to September 1, 2008, would be enough to challange a Harvard educated lawyer, like Mr.Obama. There is no concern on the part of the authors of such legislation as to the time, effort and costs to implement this. But then again, the authors of such legislation don't really read all of the nonsense that accompanies such dictates, nor does the executive who signs these dictates into law. Yes, the goals are altruistic and well intended, but there is a famous road paved with such intentions.

    8. Jay Schatz, Cape May says:

      I agree substantially with Marcia Picou of Baton Rouge. Term limits for all congresspersons. Raises and perks should be left up to the States who send them there(and should be responsible for paying them) and the Fair Tax. I would add that no incumbent should be reelected in the next election(2010) cycle. That would begin the change back to a Constitutional Republic rather than a socialist State.

    9. Volubrjotr, USA says:

      In 2003, the Democrats blocked President Bush’s Oversight Agency Regulation for Fannie Mae & Freddie Mac. In 2005, The Democrats again repeated their blocking of S.190 co-sponsored by John McCain. The passage of these two regulations, would have prevented the Democrats from bilking the credit system and predatory overextension to people who could not possibly have made the monthly mortgage payments.

      SNL Skit

    10. Al, The Villages, Fl says:

      I suppose that the president believes that this spending will somehow lead to increased GDP output downstream. However, I do not see the logic in that. While the money going from the "rich" to the poor will provide spending dollars for the poor to spend which will have a positive effect on the economy, what is happening on the "rich" side? In any case, he seems to believe it and will push for a socialist government no matter what the results. It is also true, that so long as the populace are worried about the financial meltdown, he will have a better chance of getting his way through the dem congress. That is his main goal, not to fix the economy.

    11. Jerry; Palm City, FL says:

      I believe that the Constitutional requirement for the U.S. Government is to guarantee our financial freedom, not our financial security. When they take on the task of guaranteeing financial security, by extension they necessarily limit our financial freedom in direct violation of the Constitution that they have sworn to uphold.

    12. Grace, Florida says:

      We will all be slaves to big government. I cannot believe this is the United States. These people have got to be stopped.

    13. Pw says:

      Words, just words!! How can we hold Obama accountable for saying what he means and meaning what he says. I've written enough e-mails to him in the last two months to be on somebody's short list, if you know what I mean!! I'm expecting a knock at my door any day!! Eeekkkk!

    14. Marshall Hill MI. says:

      Just Words!Never let the Facts stand in the way of

      Deception!

    15. Paul, FL says:

      Jerome Zacny and others correctly points out the lameness of the government to deliver on health care and other issues. I would also like to point out that the government never ceases to grab a situation and run with it. What everyone needs to understand is that the government always will CREATE A PROBLEM, then go in like a knight in shining armor to FIX the problem IT CREATED!

    16. Julia, Ga. says:

      One way to voice our disapproval of President Obama and the democratic majority in congress is to participate in the upcoming national " Tea Party" on April 15. This is a growing movement sweeping America. Just as important is getting as much media attention as possible from local,state and national media outlets. The mainstream media is deliberately avoiding coverage of these events(as we might have expected). I urge everyone to find the one planned for your area and then spread the word. Make calls and send e-mails to thhe media outlets to put pressure on them to cover your event.

    17. Sam Kendall, Wiscons says:

      Obama's whining about the deficit he "inherited" is just another example of the pot calling the kettle black, and in this case, in more ways than one. If he really thinks that the deficit he got is so terrible then he should stop spending and actually try to pay it off instead of doubling it or more. After all, this is the national budget, not a round of Texas Hold'em in Vegas.

    18. Bret M. Goodyear, Az says:

      WAKE UP! We all know what Obama and company is doing.. Stop getting side tracked and start talking about how to stop this Madness. It's going to be too late if it isn't allready.

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