Fighting Washington: Obama’s Reckless Budget

June 26, 2012

Fighting Washington: Obama’s Reckless Budget

We wanted to make sure you saw that President Obama’s big-spending budget got zero votes in the Senate last night. The embarrassment is well-deserved after the non-partisan Congressional Budget Office recently predicted that the increase in the debt from President Obama’s budget would hurt America’s economic growth and hurt the ability of small businesses to create new jobs.

The CBO said that:

• The spending under the President’s budget would create $6.4 trillion in new deficits and the publicly held debt would double to $18.8 trillion by 2022.

• These government spending policies would reduce the funds job creators have available to grow their businesses and hire new workers.

The evidence is growing that the Democrats’ spending sprees and President Obama’s $5 trillion increase in the national debt will sharply reduce economic growth and hurt economic opportunity for working families. In fact, the national debt has been greater than 90% the size of the economy for the last two years and will stay at that level through until 2017, but many Democrats are still defending their failed stimulus.

All best,
Nat

No Budget Has Ever Received Fewer Votes Than President Obama’s

YESTERDAY: Senate Dems Unanimously Rejected President Obama’s FY’2013 Budget. (S.Con.Res.41, Roll Call Vote #97, Motion To Proceed Rejected 0-99, 5/16/12)

MARCH 2012: House Unanimously Defeated The President’s FY’2013 Budget. (H.Con.Res.112, Roll Call Vote #143, Rejected 0-414: R 0-329; D 0-175, 3/28/12)

LAST YEAR: Senate Dems Unanimously Rejected President Obama’s FY’2012 Budget. (H.Con.Res.34, Roll Call Vote #77, Motion To Proceed Rejected 40-57: R 40-4; D 0-51, I 0-2, 5/25/11)

Obama Budget Blasted By Editorials Across The Country

USA TODAY: "Obama’s budget plan leaves debt bomb ticking… The best test of a budget proposal these days is whether it reins in the national debt… The election-year budget President Obama sent to Congress on Monday fails that test." (Editorial, "Obama’s Budget Plan Leaves Debt Bomb Ticking," USA Today, 2/14/12)

THE WASHINGTON POST: "…Mr. Obama’s proposed budget for fiscal year 2013 falls short. At the end of the 10-year budget window, he would have the national debt at a disturbing 76.5 percent of gross domestic product… The final budget of his first term does not reflect the leadership on issues of debt and deficit that Mr. Obama once vowed." (Editorial, "Obama’s Budget Falls Short, But It Beats Many Alternatives," The Washington Post, 2/14/12)

THE DETROIT NEWS: "President Barack Obama’s 2013 budget proposal should be dismissed as a blueprint for his re-election campaign. But it’s worse than that. If passed as presented — and there’s little likelihood of that — the spending plan would lock America on an auto-pilot course for Greece." (Editorial, "Obama Budget Shirks Off Any Pretense To Fiscal Responsibility," The Detroit News, 2/14/12)

LOS ANGELES TIMES: "…President Obama released a budget proposal for the coming fiscal year that offers no real solution to the United States’ long-term fiscal problems." (Editorial, "What About The U.S. Debt?," Los Angeles Times, 2/14/12)

BLOOMBERG: Budget ‘a wasted opportunity.’ "Do as I say, not as I do. That was the unwelcome message in President Barack Obama’s federal budget for 2013." (Editorial, "Obama Misses Opportunity To Tackle Tax Reform In $3.8 Billion Budget: View," Bloomberg, 2/14/12)

THE CHICAGO TRIBUNE: "Monday’s document, in truth, is a campaign playbook — the vision of government that Obama hopes voters will reward with a second presidential term." (Editorial, "Athens On The Potomac," The Chicago Tribune, 2/14/12)

Democrats’ Spending and Debt Policies Are Hurting Economic Growth and Reducing Opportunity for Working Families

U.S. COULD FACE "MASSIVE" LOSSES IN ECONOMIC GROWTH DUE TO DEBT: (Rich Miller, "Reinharts, Rogoff See Huge Output Losses From High Debt," Bloomberg Businessweek, 4/30/2012)

DEBT LEVELS MORE THAN 90 PERCENT OF ECONOMY COULD REDUCE ECONOMIC GROWTH BY 25%: "In a paper published today on the National Bureau of Economic Research’s website, they found that countries with debts exceeding 90 percent of the economy historically have experienced subpar economic growth for more than 20 years. That has left output at the end of the period a quarter below where it would have been otherwise." (Rich Miller, "Reinharts, Rogoff See Huge Output Losses From High Debt," Bloomberg Businessweek, 4/30/2012)

OMB: UNDER DEMOCRATS’ FAILED POLICIES, DEBT HAS EXCEEDED 90% OF GDP FOR THE LAST TWO YEARS AND WILL CONTINUE TO FOR YEARS: "Gross federal U.S. debt has exceeded 90 percent of GDP for the last two years and is projected to remain above that level at least through 2017, according to the White House’s Office of Management and Budget." (Rich Miller, "Reinharts, Rogoff See Huge Output Losses From High Debt," Bloomberg Businessweek, 4/30/2012)

CBO: OBAMA PROPOSALS "WOULD REDUCE ECONOMIC OUTPUT BY BETWEEN 0.5 PERCENT AND 2.2 PERCENT": "After five years, the CBO says, the Obama proposals would reduce economic output by between 0.5 percent and 2.2 percent." (Erik Wasson, "CBO Estimates Obama 2013 Budget Will Hit Economic Growth," The Hill, 4/20/2012)

DEMOCRATS’ SPENDING SPREE WOULD "REDUC[E] THE FUNDS BUSINESS COULD USE TO EXPAND AND HIRE": "Larger deficits caused by the budget would cause the government to issue more bonds, sucking up private capital to finance its debts and thereby reducing the funds businesses could use to expand and hire, the CBO said. An increased tax on capital gains included in the president’s plan would also tend to reduce private capital, it says." (Erik Wasson, "CBO Estimates Obama 2013 Budget Will Hit Economic Growth," The Hill, 4/20/2012)

CBO: "OBAMA’S TAX AND SPENDING POLICIES WILL YIELD $6.4 TRILLION OVER THE NEXT DECADE": "The Congressional Budget Office said Friday that President Barack Obama’s tax and spending policies will yield $6.4 trillion in deficits over the next decade, more than double the shortfall in CBO’s own fiscal baseline — even after taking credit for reduced war costs." (David Rogers, "CBO: Exploding Debt Under Obama Policies," Politico, 3/16/2012)

"EVEN IF OBAMA WERE TO GET HIS WAY ON ALL FRONTS," DEBT WOULD "NEARLY DOUBLE AGAIN" TO $18.8 TRILLION IN 2022: "That said, the picture is grim, and even if Obama were to get his way on all fronts, the federal debt held by the public would nearly double again from $10.1 trillion at the end of 2011 to $18.8 trillion at the end of 2022." (David Rogers, "CBO: Exploding Debt Under Obama Policies," Politico, 3/16/2012)