Nov 13 2009

DC Liberals Have Bankrupt America After Only One Year In Power

Ed Morrissey caught my eye with this post on October’s mind boggling deficit number:

The federal government busted the budget worse than last October by $20 billion with a deficit of $176.36 billion for the month.  That used to be considered a decent deficit target … for an entire year …

It’s roughly four times as large as September’s deficit, which closed out FY2009 with an annual deficit just under $1.4 trillion.  September’s deficit of $46 billion will serve as a nostalgia point in the coming months of the FY2010 budget.

Doing some crude and quick math that would result in a $2.1 trillion dollar deficit for GFY 2010 if that was repeated for the next 12 months. Fortunately for us monthly deficits are actually quite fluid, but if you look at this AP News chart, it is still not good news:

This October is worse than the one that started us off last year. Worse yet, we are not seeing the expected slow down in deficit spending the liberals in DC promised would occur if their economic stimulus scheme was enacted. In fact, since February, when the liberal faux stimulus bill was enacted, the deficits have been staggering.

All the liberal bogus budget projections we have been seeing assume some kind of pending economic recovery that will increase revenues to turn things around. This deficit data is only one example this turn around is not happening.

Let’s look at some CBO charts to see what the problem is and whether we can assume the economy is on the mend. First, look at receipts vs outlays from the latest monthly budget report:

Just look at those lines diverging at an incredible rate, each racing away from the other. The DC liberals have control of the blue line (outlays) and it shows they have been on a spending rampage bankrupting us while feeding us BS data and promises. The red line is what they should have been following by cutting the spending. Worst of all, the rate receipts are dropping is not showing any sign of leveling off.

The following CBO graph shows the deficit as a percent of GDP, another indicator that we cannot continue this liberal madness:

If the Democrats don’t stop spending like mad drunken sailors this nation will be damaged for generations (it already is to some degree). Liberals need to admit their theories and schemes were disastrously wrong. They need to stop pretending.

There will not be increased revenues/receipts while we keep losing jobs and limp along with massive numbers of underemployed. The income tax is the prime funding source for the government. With unemployment (U3) and underemployment (U6) continuing to rise there is no way for revenues grow (click to enlarge):

That is not true of spending/outlays. The outlays for unemployment are skyrocketing as the only tangible and measurable result from the stimulus package has been the addition of over 2 million people to the Emergency Unemployment Compensation (EUC) rolls – the last resort for the chronically unemployed (click to enlarge):

This ‘recession’ has been like no other in terms of the damage it has done to the fabric of our economy. Here is a terrifying list of the many ways this recession is historic, and why the lame liberal fantasy of vast government spending pulling our economy out of its nose dive was as naive as it has been impotent. Bottom line, we have not reached bottom on the unemployment yet, therefore we have not seen the bottom of reciepts.

And what about that mythical stimulus bill which had to be rushed through Congress so it could stave off all this economic bad news? The money is stuck inside the bloated and constipated federal bureaucracy. Here are the charts I have been using to monitor 6 of the federal organizations which were going to spend us into happy economic days. They represent one third of the stimulus job creating money in that idiotic bill ($105 billion).

On average these government entities have yet to spend even 10% of the stimulus money, which means we are racking up these history breaking deficits/debt and have not even begun to spend the stimulus money yet!

Graph 1 shows the amounts appropriated/budgeted (far left column) amount obligated to actual projects/programs (middle left column), amount spent (middle right column) and amount left unspent (far right column) – click to enlarge).

Graph 2 shows the the percent of the total budgeted which has been obligated to actual projects/programs (left column), percent spent (middle column) and percent unspent (right column) – click to enlarge:

50% has been obligated to actual projects, but the other 50% is still in bureaucratic limbo. Only 6% ($6.5 billion of $105.3 billion) has actually been spent. In a $10+ trillion economy that is nothing.

No wonder there are no real jobs being created, therefore no increase in receipts. Instead of an economic recovery we get economic gimmickry from lying liberals in deep denial over the failure of their fictional theories. We get fudged reports of economic progress.

Case 1: Mythical ‘created/saved’ jobs exposed by the Boston Globe

Case 2: The magical job creating lawn mower

My previous posts on the faux jobs reportedly created by the faux stimulus bill:

Bogus Jobs “Created Or Saved” Claims By Obama Administration

More Bogus Job Claims From The Obama Ministry Of Misinformation

It’s Still The Unemployment Driving The Electorate

If BS was economic fertilizer the liberals in Congress and the White House would have turned this economy around already with their false promises and pretend gains.

11 responses so far

11 Responses to “DC Liberals Have Bankrupt America After Only One Year In Power”

  1. lurker9876 says:

    http://www.google.com/hostednews/ap/article/ALeqM5hBr0LFXMFF1HE6-n_ZTN1829QS1QD9BUTPVG0

    Saw this article and wondered…can Obama accomplish this?

    Nah, I don’t think so.

    Not after this year. Pelosi and others are too hungry to spend more.

    Obama cut numerous programs of the Defense Department and he hasn’t even made up his mind about NASA yet.

    He had better force cuts in programs outside the Department of Defense and NASA.

    Do you really think Obama can make this happen? Not especially with Health Care, cap n trade, and illegal immigration! And they’re asking for more stimulus bills, bailing out more of GM.

    Didn’t they just voted on the 212 B doc fix?

  2. momdear1 says:

    Obama is in danger of canceling all of the gains made by the civil rights movement over the past 50 years. His party is looting of the national treasury and printing trillions of dollars to hand out goodies to all party loyalists and their friends and relatives on his watch. Corruption is rampart. His timid and inept handling of national security in the name of political correctness is giving the impression he is anti American and he is putting all of us at risk. His surrogates and supporters readiness to blame racism as the cause of all his problems is in danger of reigniting racial hostilities since many civil rights supporters are suddenly realizing they are victims of reverse discrimnination as his supporters walk off with all the benefits and the rest of us are forced to pay. If this country looks more like Zimbabwe or other African countries ravaged by corrupt and incompetent African dictators than it did when he bcame president it will reinforce all the old racial stereotypes that blacks are not as intelligent as other races , that most people have forgotten. He is the best and brightest of his people. He won the presidency with white support. If he screws up, and the rank and file American citizen ends up unemployed and broke , and the county is bankrupct, while his supporters like George Soros and ACORN walk off with all the money , does anyone think that people won’t think that no black person has the intelligence or ability to do anything right? The biggest problem blacks have faced is the perception that they are not as intelligent as other races. Obama has the future of his people in his hands. If he fails, he will set his people back to square one. If he is wise he will realize he is the president of all the American people. His job is to protect us and see that we are safe from all enemies foreign and domestic, not to seize the possessions of those who have them and give it to the have nots, who just happen to be his biggest supporters.

  3. lurker9876 says:

    Hopefully, people watched Glenn Beck’s show yesterday. He had a group of blacks on his show. Many of them have done well by breaking this stereotype of a poor, ignorant black.

    Some of the comments these black people are indicative of the Framers’ independent and radical thought. One lady said that to work hard, save, increase wealth, help others, better themselves is one of the conservative principles of the Republican Party. As opposed to the Democratic Party, “Give me, give me, give me!” mentality.

    One even said that after a trip to Africa, he learned to appreciate this country.

    And then the best part is Anthony who caught Glenn on the streets of Harlem. Anthony just kept talking and talking with feelings pouring out of his heart. Glenn had to let Anthony talk and listen. Anthony talked about Obama, Iraq, and Afghanistan. He was a former US marine and very concerned about our country.

    Glenn pointed out that this is what he hears out on the streets, book stores, everywhere.

    There will be reruns of this show this weekend so be sure to watch it today and tomorrow.

    Be sure to watch it.

    BTW, change of topic: Anyone catch Anderson Cooper calling Hasan a conservative Muslim.

    Boy, the shit hit the fan for Rush…

  4. kathie says:

    We are looking more like California every day.

    The stimulus supposedly designed to create jobs is really as one woman said, Obama’s big slush fund. Few Presidents have access to $1.6 trillion slush fund. Maybe it will, in the end, irradiate poverty. Probably not!

    Obama is going to bring back the best minds to talk about how to create jobs. Maybe the same guys he consulted the first time.

    Truly Obama thinks he’s the smartest guy on the planet. Maybe it is our fault we are unemployed? We are just right wingers trying to make Obama look bad.

    Any way the rich have had it so good these last 8 years they need to step up to the plate and get us out of this mess. More money please, do your duty you rich guys.

  5. Rick C says:

    Grag Mankiw (Harvard economist) had an interesting post this week. He pointed out the marginal tax rate on a poor person increasing his earning from $15K to $30K is 100%.

    http://gregmankiw.blogspot.com/2009/11/poverty-trap.html

    That means, of course is that someone earning $15k has to double his income before he gets a dime of extra disposable income. Effects such as this are designed to keep the poor dependent on the government and voting, reliably, Democratic.

    It is a travesty, but a poorly documented travesty.

    Rick

  6. ivehadit says:

    Momdear, I have copied your post for saving to my hard drive. It encapsulates it all.

    And Rick, the Catholic nuns in New Orleans knew of what you speak and they sought to help as many as they could get OUT of the cycle of poverty and the housing projects which were traps.

    I love this from Powerline today regarding obama’s asian tour this week:
    “Power Line adds: Obama’s breach of protocol is of a piece with the substance of his foreign policy. He means to teach Americans to bow before monarchs and tyrants.”

    And he wants us to bow to him and his administration, clearly.

    His hostility towards America is no longer covert. But, I got news for ‘em: HIS POWER IS ON LOAN. The American people own it, not him and we will do all we can within the bounds of our Constitution to protect our country and our heritage. I feel very badly for the good and wonderful Americans of color. This man is harming them greatly…as is usual for liberals.

  7. MerlinOS2 says:

    We can all comment on the way-points that mark this journey but the big question is what is the end game of it all.

  8. Terrye says:

    The man is a disaster. He will do what the Kaiser and Hitler could not do, what the Emporer of Japan and the Soviet Union could not do…he will ruin this country.

  9. lurker9876 says:

    Terrye,

    He already IS ruining our country.

    I have no doubt that his efforts to cut domestic spending and revive the job recovery to be….UNsuccessful.

    Why? Because he knows very little about the free market economics.

  10. [...] and the liberals running Congress added over 10% ($1.4 trillion) of that debt in the last year, and they could possibly add another 15% ($1.8 trillion) next [...]