Federal Government to Nearly Double Borrowing in FY 2018

[wing2000]

[....from the party in charge that bills itself as "conservative" ...]

"The federal government is on track to borrow nearly $1 trillion this fiscal year — Trump's first full year in charge of the budget.

That's almost double what the government borrowed in fiscal year 2017.

....

What's particularly jarring is this is the first time borrowing has jumped this much (as a share of GDP) in a non-recession time since Ronald Reagan was president, says Ernie Tedeschi, a former senior adviser to the U.S. Treasury who is now head of fiscal analysis at Evercore ISI. Under Reagan, borrowing spiked because of a buildup in the military, something Trump is advocating again."

Analysis | The U.S. government is set to borrow nearly $1 trillion this year, an 84 percent jump from last year

 

[Hank77]

They have to get it budgeted this year because next year tax revenues are going to drop substantially and they will have a hard time justifying the spending next year.

 

[wing2000]

They have to get it budgeted this year because next year tax revenues are going to drop substantially and they will have a hard time justifying the spending next year.

...let's see. The Republicans seem to have a blind spot when it comes to defense spending.

 

[cow451]

[....from the party in charge that bills itself as "conservative" ...]

"The federal government is on track to borrow nearly $1 trillion this fiscal year — Trump's first full year in charge of the budget.

That's almost double what the government borrowed in fiscal year 2017.

....

What's particularly jarring is this is the first time borrowing has jumped this much (as a share of GDP) in a non-recession time since Ronald Reagan was president, says Ernie Tedeschi, a former senior adviser to the U.S. Treasury who is now head of fiscal analysis at Evercore ISI. Under Reagan, borrowing spiked because of a buildup in the military, something Trump is advocating again."

Analysis | The U.S. government is set to borrow nearly $1 trillion this year, an 84 percent jump from last year

Looks like we have gone from “tax and spend” to “Spend and spend”.

 

[Desk trauma]

Looks like we have gone from “tax and spend” to “Spend and spend”.

Slash and spend.

 

[DZoolander]

C'mon now - they do intend to cut.

All of those frivolous programs like Medicare and Social Security sure do take up a lot of money.

 

[cow451]

Slash and spend.

Slash tax revenue and spend more. What could possibly go wrong. I mean it worked really great when Kansas did it.

 

[Allandavid]

Gee....who would have guessed....?

If you slash the taxes on big corporations, you take in less in revenue....!

 

[cow451]

Gee....who would have guessed....?

If you slash the taxes on big corporations, you take in less in revenue....!

Trump University math.....

 

[wing2000]

Spending like drunk sailors (evolving Senate Budget deal):

-More military spending than even Trump requested
-research, education, roads and health care increases of 21 percent over curren budget caps
-2011 Budget Caps would be lifted for two years
-etc, etc,
....and drum roll
-suspending the federal debt limit until March 1st...of next year (after the elections)

In summary, the economy needs no help from government spending, yet we have already cut government revenues (tax cut) and now the Senate proposes giving everyone their wish list?

What gives?


Sweeping budget deal would more than $500 billion in federal spending, end months of partisan wrangling

 

[wing2000]

Congress plan to end gridlock: Give everyone (including Trump) what they want now...and blame each other for the trillion dollar deficit in 2019 --- after the election.

 

[FenderTL5]

Spending like drunk sailors (evolving Senate Budget deal):
What gives?

Apparently those of us not quite making the median income (my Federal Income Tax just went UP under the new tax law $7.72 per week).
but those disenfranchised billionaires got some relief.

 

[OldWiseGuy]

Apparently those of us not quite making the median income (my Federal Income Tax just went UP under the new tax law $7.72 per week).
but those disenfranchised billionaires got some relief.

Median income earners should see a tax cut of about $550-$600 per year. I make a bit more and will see a $1500 reduction.

 

[OldWiseGuy]

C'mon now - they do intend to cut.

All of those frivolous programs like Medicare and Social Security sure do take up a lot of money.

Actually SS is a pot of money that the gov't borrows from.

 

[Aryeh Jay]

Apparently those of us not quite making the median income (my Federal Income Tax just went UP under the new tax law $7.72 per week).
but those disenfranchised billionaires got some relief.

My federal taxes went up $52.51. But this does help me out in the long run, I will not make the same mistake in November 2020.

 

[wing2000]

The silence is deafening.

"The bill authorizes the U.S. government to spend about $500 billion more over the next two years and suspends the debt ceiling until 2019. Most of the additional spending is not offset with cuts elsewhere, which means that the $20 trillion national debt will grow significantly. Sixty percent of the new money goes to the military; the rest goes to domestic programs."

Analysis | The Daily 202: Rand Paul’s short-lived shutdown is ending, but his warning about GOP deficit hypocrisy reverberates

 

[iluvatar5150]

The silence is deafening.

"The bill authorizes the U.S. government to spend about $500 billion more over the next two years and suspends the debt ceiling until 2019. Most of the additional spending is not offset with cuts elsewhere, which means that the $20 trillion national debt will grow significantly. Sixty percent of the new money goes to the military; the rest goes to domestic programs."

Analysis | The Daily 202: Rand Paul’s short-lived shutdown is ending, but his warning about GOP deficit hypocrisy reverberates

Regarding the opening sentence of the piece - this isn't Keynesian policy, as Krugman points out here:

Opinion | Fraudulence of the Fiscal Hawks

 

[FenderTL5]

The silence is deafening.

"The bill authorizes the U.S. government to spend about $500 billion more over the next two years and suspends the debt ceiling until 2019. Most of the additional spending is not offset with cuts elsewhere, which means that the $20 trillion national debt will grow significantly. Sixty percent of the new money goes to the military; the rest goes to domestic programs."

Analysis | The Daily 202: Rand Paul’s short-lived shutdown is ending, but his warning about GOP deficit hypocrisy reverberates

As of the last 20 months, or so, culminating today, "Conservative Republicans" is now an oxymoron.

 

[wing2000]

Who would have guessed that a GOP President and Congress would oversee the era of Trillion dollar deficits?

The influence of the House Freedom Caucus, Koch Brothers and the Club for Growth is apparently over....

 

[OldWiseGuy]

Ever since I adopted the program of "Every man for himself" I've done quite well. I do vote Republican (as a matter of principle) but don't expect any more from them than I do the Democrats.