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  • Obama's Fake Budget Spending Cuts

    Since President Barack Obama was sworn into office total entitlement spending has grown 4%, total discretionary has soared 16%, and the national debt has exploded 43%. Over that same time the United States economy has lost 3.3 million jobs. President Obama cannot be blamed for the most recent recession, but he certainly can be held accountable for the failure of his deficit spending policies in response.

    Today’s FY 2012 budget released by the President doubles down on this failed record. The White House is trying to portray this document as a spending cut. Specifically, they claim the President’s budget reduces 2012 discretionary spending by 5 percent. But as Heritage Foundation’s J.D. Foster details, these “cuts” are only made possible by three gimmicks:

    1. Redefining Pell grants as mandatory spending. Stripped of this gimmick, discretionary spending jumps by $14 billion in 2012.
    2. Reclassifying $54 billion of surface transportation spending from discretionary spending to mandatory spending.
    3. Spending the peace dividend. The budget proposal includes spending for military operations in Iraq and Afghanistan, referred to as “overseas contingency operations,” as discretionary spending and reduces funding for these operations by $38.2 billion in 2012.

    Foster notes: “Reversing these budget tricks lifts 2012 discretionary spending by $106.2 billion for an overall $31 billion increase in discretionary spending.” These fake spending cuts will end up in real debt for your children. President Obama’s budget would grow spending, even after inflation, by 30% over the next 10 years. All told, publicly held debt would rise from $9.5 trillion in the current year to $16.7 trillion by 2021.

    Posted in Economics [slideshow_deploy]

    11 Responses to Obama's Fake Budget Spending Cuts

    1. jeff d., NYC says:

      "President Obama’s budget would grow spending, even after inflation, by 30% over the next 10 years. All told, publicly held debt would rise from $9.5 trillion in the current year to $16.7 trillion by 2021."

      i don't have stats in front of me to argue against this, so i won't. but it any case, it seems unfair to portray the potential costs of Obama's proposed budget as debt resulting from to his policies alone. It's just a proposal; after it's marked-up, whatever portions remain that build on the debt are then equally the fault of the Congress that passes the budget.

    2. Teresa, AZ says:

      It appears to be a slight of hands plan. But Americans are now awake to this and will not tolerate a "robbing Peter to pay Paul" attitude.

    3. Bobbie says:

      Mr. President, please explain in detail how your proposal will help America at all?

      You came into office anxious to handle the situation you were fully aware of and put in a lot of time and energy making sure no one saw you to be at fault and then you make it worse? For what reason, Mr. President, in detail, your own words? There is no reason a mind as yours can't practice self-discipline with practicality and cut what you've added and have some dignity in the people you serve. America needs things of significance not trickery.

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    5. George Colgrove, VA says:

      The federal government just does not get it. The President does not get it, congress – including the New Tea Party members do not get it. The overpaid and extremely ineffective federal workforce is desperately hoping that no one gets it. These people are the enemies of the state and they are running it – running it into the ground. We – by Obama's words – will be in debt over $15.2 trillion by September 30th and then he proposes another $3.8 trillion budget – paid for by 43% debt!!! We the people, to satisfy the insatiable drive of personal wealth and privilege on our backs by the feds will be asked to cough up more money (that we do not have) in the form of the largest tax increase ever – looming in the next few years. We are being doped by this artificial cost cutting debate. Nothing will be cut and the resulting budget will be larger than last year.

      There are more and more international calls to sever the dollar as the basis for international monetary exchange and an increasing drive to eliminate the dollar altogether in favor of a global currency. We talk about securing our National Security by managing the DoD budget at WWII levels. We will lose our National Security if we lose control over our fiscal policy. We need fixes and we need them now.

      We need a new Tea Party initiative. The feds will not do what is necessary, so we have to.

      New Tea Party Initiative for the rest of this year and next year:

      Make an all out call for a law that requires a 15% Across the Board Cut (ABC) [ 15%ABC – NOW! ]. No, this is not enough, but it will be a great way to start. This is the easiest thing to do right now and it will not need politics or any discussion.

      We need marches on DC. We need a massive letter writing campaign. We need to get these goons on the mat and we need to force them to do the will of the people.

      Cut everything from Education to FCC; HHS to DoD; the White House to DHS – everything. Cut every office, every agency, every program, every department by 15%. Do not focus on cutting out programs entirely right now – just take off a 15% slice out of everything. For 2011, this is a reduction of $575 billion. For the elimination of 15% of the federal workforce, we should focus on getting rid of the highly redundant and largely unnecessary, top-heavy, high-ranking and massively overpaid federal employee before removing the workers at the lower GS levels. This all should be done by September 2011. We should demand that congress make a law that forces every federal office to cut 15% of their operations by finding efficiencies, eliminating redundancies and force department to eliminate overlapping functions. Federal offices should be forced to consolidate all similar functions into single entities.

      Once this gets done and implemented, we need to fight for [ 15%ABC – 2012 ]. This would save an additional $563 billion. This phase should be completed in March 2012. In total, that represents $1.14 trillion in ANNUAL cuts. That with the $100 billion impotent republican cuts will usher a full $1.24 trillion annual cut in less than a year and limit the annual deficits to around 100 to 200 billion. With the elimination of mindless corporate regulations, environmental regulations, labor regulations and so on, prosperity will pick up the rest. Moreover, allow the nation to start paying off the debt.

    6. George Colgrove, VA says:

      Top 10 Natural Disasters in the United States (Forbes):

      1. Hurricane Katrina, 2005 – $31.3 billion

      2. Northridge Earthquake, 1995 -$9.5 billion

      3. Hurricane Rita, 2005 – $4 billion

      4. Hurricane Georges, 1998 – $2.8 billion

      5. Hurricane Andrew, 1992 – $2.7 billion

      6. Hurricane Ivan, 2004 – $2.6 billion

      7. Loma Prieta Earthquake, 1989 – $2.5 billion

      8. Hurricane Wilma, 2005 – $2.2 billion

      9. Hurricane Charley, 2004 – $2 billion

      10. Hurricane Frances, 2004 – $1.9 billion

      Total costs $61.5 Billion spanning from 1992 to 2005.

      The top 100 global natural disaster in the last century – please go to:

      These 100 natural disasters totaled $631.25 Billion between 1931 to 1998

      The United States Federal Government spends $1.5 trillion in just one year of unsustainable debt – robbing from generations yet to be born. The feds are worse and causes far more harm to the nation than all natural disasters combined. They know what they are doing. This is getting to be willful criminal behavior. This is a fact, the household incomes in the greater DC area went up by a massive 36% since they took advantage of the 9/11 crisis. The rest of our household income dropped by 5%. This new budget by Obama only does one thing – it protects the federal government at the cost of the nation. We should be protecting the country at the cost of the federal government.

      We do not need $4 trillion budgets for the feds. Even in WWII, the federal budget never cracked $2 trillion in today’s dollars. This has been a recent phenomenon (since the late 1980’s). It has only been since the self-serving greedy federal government took advantage of the 9/11 crisis and lined their pockets with tax payer money that federal budgets dramatically climbed to these levels.

      We need to stop this maddness!

    7. Pingback: Obama’s Fake Budget Spending Cuts : USACTION NEWS

    8. Pingback: Shot in the Dark » Blog Archive » It’s Not A Cut If It Costs More

    9. Pingback: AntiObamaBlog.com » Obama’s Fake Budget Spending Cuts

    10. Glen,Madisonville La says:

      Public attitudes toward this financial crises that looms ahead is a perfect example of the effects of dumbing down of America.

      The public is so uninformed about current events,it is a crime that we allow things like a newsmedia that either does not report the important facts ,or they report the distorted side or lie about the facts to mislead the public and to favor one side or the other. This isnot a club or some fraternal organization. we are talking about it is our country THE UNITED STATES OF AMERICA we are playing with.

    11. franktrades says:

      Wow, i have found rational humans here!

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