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Refuting Leftist Myths with Heritage’s Book of Charts

Posted May 14th, 2009 at 1:26pm in Entitlements 13 Print This Post Print This Post

The Heritage Foundation’s 2009 Federal Revenue and Spending Book of Charts is now available online. Please do keep it bookmarked for those times you need a good visual to refute liberal nonsense. For example:

Liberal Myth: Bush’s Deficits Were Worse Than Obama’s.
Reality: Obama’s Budget Would Create Unprecedented Deficits

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Liberal Myth: Obama’s Budget Reduces the Deficit
Reality: Obama’s Budget Would Increase Debt by 26.3 Percent of GDP Compared to CBO Baseline

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Liberal Myth: Bush’s Tax Cuts Caused the Deficit
Reality: Income Tax Receipts Stay Constant Even as Tax Rates Decline

pic3
and Corporate Income Tax Receipts Stay Constant Even as Tax Rates Decline
pic4

Liberal Myth: The Rich Don’t Pay Their Fair Share
Reality: The Top 10 Percent of Income Earners Paid 71 Percent of Federal Income Tax

pic5

Liberal Myth: Defense Spending Growth is Driving Our Deficits
Reality: Defense Spending Remains Below Historical Levels Despite the War on Terror

pic6

So if tax revenue and defense spending are flat, what is driving our deficits?

Federal Spending per Household Is Skyrocketing

Total federal spending per household is currently at record levels, having risen 203 percent since 1965. The Obama Administration’s budget would increase federal spending even further to $33,194 per household by 2019.
pic7

And what is driving federal spending?

Mandatory Spending Has Increased Five Times Faster Than Discretionary Spending
Discretionary spending, the portion of the budget subject to annual review or budget debate, increased 203 percent from 1965 to 2009. Mandatory spending, consisting mostly of Social Security, Medicare, and Medicaid, which run on autopilot, rose 832 percent from 1965 to 2008. In 2009, spending from the Troubled Asset Relief Program (TARP) and President Obama’s $250 billion placeholder for additional stabilization efforts will increase mandatory spending over 50 percent.
pic9

And what is driving mandatory spending?

Medicare and Medicaid Spending Will Rise with Increasing Health Care Costs

Health care costs have risen faster than the economy over the past few decades. This directly contributes to the uncontrolled growth of Medicare and Medicaid costs. Health care costs are expected to continue increasing rapidly in the future and will be one of the main drivers of future increases in entitlement spending.
pic11

And what does President Obama want to do about Medicaid and Medicare spending? Spend even more. He already expanded Medicaid spending with SCHIP and The Atlantic’s Megan McArdle explains why Obama’s health care reforms will do nothing to rein in Medicare:

[L]iberal analysts have very serious plans to cut Medicare’s costs, which is why we need universal coverage, so that we can implement those very serious plans.

I hear this argument quite often, and it’s gibberish in a prom dress. Any cost savings you want to wring out of Medicare can be wrung out of Medicare right now: the program is large and powerful enough, and costly enough, that they are worth doing without adding a single new person to the mix. Conversely, if there is some political or institutional barrier which is preventing you from controlling Medicare cost inflation, than that barrier probably is not going away merely because the program covers more people. Indeed, to the extent that seniors themselves are the people blocking change (as they often are), adding more users makes it harder, not easier, to get things done.

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13 Responses to “Refuting Leftist Myths with Heritage’s Book of Charts”

  1. April, Colorado on at said:

    Interesting…looking at that first chart, on average, the Presidents who were Democrats spent far less than the Republicans. I guess we can thank our lucky stars that we don’t have a Republican in office during this current economic crisis. There is no telling how much would be spent. The real myth is that Republicans are fiscally conservative. Don’t believe me? Just take a look at that chart.

    You don’t think that we should bail out AIG? Then you can pay my dad his pension.

    I’ve got 2 words for you…”Phil Gramm”

  2. Bernard M. Russelman on at said:

    April sez “You don’t think that we should bail out AIG? Then you can pay my dad his pension.”

    Sorry, but you are a misinformed Socialist…

    Your father is not my responsibility. He is YOUR responsibility. You are the prototypical liberal American with their “entitlement mentality”.

    I suggest that YOU pay his pension or have him live with you. What makes you think other tax payers should have their money that they could spend on THEIR families confiscated by the government and handed over to your father, who did not invest for his future, but relied on a meager pension? Meanwhile you live in a nice home, I am sure. Maybe take vacations to Europe and Disney World, and waste money on all sorts of material goods that are not neccesary, but you expect taxpayers to pay for your father’s keep. What Chutzpah!

    If you went down your street and demanded that your neighbors hand over money so you could give it to your father, the doors would slam in you your face, and people would tell you to Blank Off!

    Instead, liberals vote in politicians who do the dirty work backed with the power of the governmnet to shake down their neighbors, all in the name of “the common good”…

  3. judith, new york on at said:

    My reply to April of Colorado…..Do your homework and be informed, otherwise you cannot make good decisions or cogent comments. You need to know who was in control of Congress under each president. The Republicans were in control of Congress during most of the Clinton presidency, that’s why you see that low number.

  4. Frank, New York on at said:

    To be fair, presidents don’t always “spend” the money – it’s congress that holds the purse strings. Ford, Reagan and Bush both had heavy dem legislative branches. The best scenario was the strong Republican congress under Clinton – between the two sides we had a good balance of revenue vs spending. But it IS a fascinating point – and we all know that W. spent WAY BEYOND what a Republican ought to be spending.
    Still – the current prez blows them ALL away in terms of fiscal irresponsibility. Stunningly bad economic situation now – worst ever.

  5. Tom, New Jersey on at said:

    Reply to April in Colorado – Myths are perpetuated by ignorance.

  6. Tom Iowa on at said:

    Ignorance is bliss….

  7. J. Jackson Houston Texas on at said:

    I would like to see the same graph on the top but with red or blue to indicate who had the control of the house and also the senate during the same time periods. We are foolish to only look to the executive branch when we compare performance. It is easy to spot a crook when we have one man in the chair, but it might be more difficult when we have 535 to look at.

  8. write-wing, Wisconsin on at said:

    April – who spent more over history is irrelevant when you see Obama nearly doubling the highest point. As for thanking your lucky stars a Republican is not in office, you are a fool. A Republican (along with about 99.8% of Americans who have to balance a check book) realizes that when you have massive deficits, you do not make them go away by spending like crazy, and taking over private sector businesses.

    Your Dad can collect social security. The way things are going, neither you or I will be able to do that. Regardless, you and your Father are welcome to stay out of my wallet. I have my own family to take care of – perhaps you should do likewise.

  9. Cam McDonald, Chattanooga, TN on at said:

    Reply to April in Colorado – Check your facts sweetie. And we probably will end up paying your daddy his pension.

  10. April, Colorado on at said:

    Cam from TN, Don’t call me sweetie, it is disrespectful…typical southern male mentality! I guess to some HR bloggers, carrying on a mature debate is not the purpose. I guess it really is more like flipping people off in traffic. Write-Wing, I would never call you a fool.

    Reading HR blogs just makes me even more confident of my convictions.

    By the way, my dad worked 32 years and PAID INTO his pension fund! I guess it doesn’t matter to you if my dad is robbed of his pension after all that time paying in! Just as long as it isn’t your dad.

    Republican moto: “I’ve got mine…”

  11. Ann Lebanon, Ohio on at said:

    April, I hear your concern for you father’s pension and I have concern for all the money I have lost in the stock market that I chose to invest in instead of vacations and a second T V and that newest washer and dryer. The real rogue here is not you and me it is a congress and executive branch that is out of control. It’s both parties. We have to get back to basics. The freedom to fail, the freedom to keep the money we have earned, the right to property without government restrictions. We must pull together and put the blame where belongs, on our elected officials. Let’s pull together. Ann

  12. Marshall Hill MI. on at said:

    Why are we badgering APRIL? She likes the attention,even when she has not paid attention!

  13. April, Colorado on at said:

    Marshall. You will need to explain your comment. How do you believe that I have not paid attention?

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