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7 Things to Know about the Budget Deficit
posted by: Nicole Nuss 17 hours ago
7 Things to Know about the Budget Deficit

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19 comments
Editor's Note: Below are seven facts you really should know about debt and the budget deficit. The list comes to us from Our Fiscal Security, where this piece first appeared.

1. The deficit is the gap between what the government spends and the revenues it collects each year. We didn't always run deficits. When President Clinton left office, the federal budget was running a surplus of $236 billion, or about 2% of the U.S. economy. And that extra revenue was being used to pay down the national debt. To understand how we moved from big surpluses to a growing deficit, it's helpful to examine each of the major factors driving our nation's current deficits.

2. Every million additional jobs we generate reduces the deficit by $54 billion.

3. It's misleading (and dangerous) to confuse the short-term budget shortfall with the medium-term deficit or the long-term debt. Here's a way of understanding it:

* The Short-Term Recession Shortfall (1-3 years): The Great Recession was responsible for 61 percent of the deficit last year.
* Tax receipts fell as people lost jobs and income and businesses failed; federal tax revenues declined from 18.5% of GDP in 2007 to 14.8%.
* Spending rose with government supports such as unemployment insurance, the Recovery Act, TARP funds, payments to Fannie Mae and Freddie Mac and discretionary outlays for defense spending, from 19.6% of GDP in 2007 to 24.7%.
* The Medium-Term Bush Deficit (10 years):
* We ran a $236 billion surplus before the Bush tax cuts, but we have run deficits for the past 9 years.
* The ten-year projected deficit is entirely explained by the economic downturn, the Bush tax cuts and the wars in Afghanistan and Iraq. Bush tax cuts and the wars made up $500 billion of the 2009 deficit and will create $6 trillion in deficits and debt service over the next decade.
* The Long-Term Health Care Costs Debt (30 years +):
* The rapidly rising cost of private health care -- doctor's visits, prescription drugs, procedures -- is the only truly unsustainable part of the long-term budget. If U.S. health care costs were growing at the rate of other wealthy countries, we would have no long-term debt problem.
* Social Security does not significantly contribute to the long-term debt picture. Its total shortfall is projected to be 0.7% of total GDP of the next 75 years, a small effect on the budget compared to the economic downturn and the Bush-era tax cuts, which will, over the next decade, consume 1.5% and 2.6% of GDP respectively.

4. A bi-partisan taskforce has identified over $1 trillion in defense spending that could be saved over ten years to reduce the deficit without jeopardizing national security.

5. The claim that the United States faces over $63 trillion in liabilities, unfunded retirement and health care obligations is based on deceptive and misleading figures-which are based on projections of health care costs over 75 years, and assumes no changes in tax revenues or reductions in health care costs.

* The CBO estimates that between 2012 and 2020, the debt held by the public will only rise by around 1%, far from the rapid ballooning that these claims make.

6. Most economists agree that debt held by the public -- rather than gross debt -- is the proper measure on which to focus because that's what really affects the economy. Studies showing the U.S. near a debt "tipping point" of 90% of GDP make improper comparisons between the U.S and other countries.

7. Contrary to general belief, high debt does not necessarily lead to slow growth, but rather slow growth can lead to growth in debt.

Read more: politics, economy, debt, unemployment, national debt, recession, GDP, budget deficit, us budget deficit, recovery plan
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19 comments add your comment
Kathleen B.

* Kathleen B. says
* Nov 23, 2010 10:16 AM

Perhaps we need to re-elect President Bill Clinton.

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Fred Urbasek

* Fred Urbasek says
* Nov 23, 2010 10:10 AM

Yes John K. I am a typical lying lefty (get over it) Take you Repug. pill and take a nap. You will feel better when you get up and have your cup of tea.

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Nancy Forler

* Nancy Forler says
* Nov 23, 2010 10:03 AM

Get rid of half the redundant or over-lapping agencies and this will save the American people a lot of money. And then tell those people to look to Unemployment until their benefits run out.

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Jason Reed

* Jason Reed says
* Nov 23, 2010 8:09 AM

This ongoing support of reaganomics, by the republicans, has to stop. It's insane! All you need is to look at this chart to know...
http://www.alan.com/wp-content/uploads/2010/11/Natl_Debt_Chart-1024x819.jpg

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April Thompson

* April Thompson says
* Nov 23, 2010 6:51 AM

Thanks for the truth!

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Richard Swierczek

* Richard Swierczek says
* Nov 23, 2010 6:21 AM

thanks very much the information was realy useful and has been penimantly noted.

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John K.

* John K. says
* Nov 23, 2010 6:09 AM

How about the 8th thing?! The fact that Social Security taxes are included as receipts and thus make the deficit look smaller than what it really is. This was started under LBJ and has been continued since. Social Security originally was segregated into its own trust fund, now its receipts are commingled with general tax revenues. The author of this article is either pitifully ignorant, or a typical lying lefty not coming clean with all the facts.

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Past Member

* Past Member says
* Nov 23, 2010 5:53 AM

Seems someone knows what to do...so let's do it! Oh,but, perhaps, they don't have enough POWER to get us back on track. The ELITE WEALTHIEST love to keep the $ all for themselves while keeping "the people" suppressed. Let's be the change!

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Ronald B.

* Ronald B. says
* Nov 23, 2010 5:43 AM

thanks

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Marianna B M.

* Marianna B M. says
* Nov 23, 2010 5:35 AM

noted

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Nicole Nuss Nicole is Care2's Web Editor/Producer. She's been an outspoken activist for animal rights since she was 10 years old. When her 5th grade Science class was given an assignment to write about anything they wanted--and all the other kids in her class wrote about their families and summer vacations--Nicole wrote about the Canadian Seal Hunt. less
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CHILD STOLEN BY THE STATE FROM MIDDLE CLASS LOVEING FAMILY
London : United Kingdom | Nov 21, 2010
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This week a 6 years old child was forcibly adopted. He parents Mr. and Mrs. Simms previously lived a happy normal middle class life with their 5 year old daughter until 18 police officers and the RSPCA broke into their home and destroyed it forever because some-one, who has never been named, claimed they had unlicensed guns in the house.

The police rampaged through the house like trumpeting elephants destroying the neat home and letting dogs rush through the house and kill the little girls pet boxer,

They them arrested the parents and left the child with her dead dog amidst the chaos. When Mr. and Mrs. Simms were eventually released without charge they came home to find their little girl gone never to be returned. This week their daughter was adopted.

Read full story by Chris BookerChris Booker the only journalist who is raising this issue of forced adoption. http://www.telegraph.co.uk/comment/columnists/christopherbooker/8148987/Forced-adoption-another-win-for-the-child-snatchers.html

These terrible cases of injustice are not acceptable in a civilized society. The police should require something more than suspicion to obtain a search warrant and destroy the lives of innocent people and devastate the lives of innocent tiny children. This can happen to you it can happen to anyone.

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jocarva Iran's middle class to be hard hit as subsidy program is overhauled (WaPo) http://wapo.st/abQyme #iranelection 37 minutes ago reply

ChetRB @sonaliranade So well said, Sonali! The consumption pattern of the neo-rich middle class has gone for a toss at the cost of farmer! 33 minutes ago reply
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Monday, November 15, 2010

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Garland : TX : USA | Nov 15, 2010
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Who hates America? is it the ones who prerpose Ideas that they believe will make life better for the majority of the population? or the ones who say no to every thing jobs bills ; health care law that kept them from taking advantage of you by call any illness preexisting? run around the country saying that this bill will kill jobs in a time of crisis. or lend a voice of deception to the to the rhedric of a bunch of profiteering Idiots. Who have no idea what there taking about. and the politicians that get money from special interest lobbyist. By either being hypocrites or profiteering lairs. Hey just because we disagree doesn't mean we hate the United States we love our country.The difference between you and us is money you want to take away safety nets that keep some of us from starving; so you and your Profiteering billionaires can rake in the left overs.I to am a voice of dissension I am allow that by the first Amendment of the Constitution of the UNITED STATED.If you don't like that then you can go flock Your selves.

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Who hates America? is it the ones who prerpose Ideas that they believe will make life better for the majority of the population? or the ones who say no to every thing jobs bills ; health care law that kept them from taking advantage of you by call any illness preexisting? run around the country saying that this bill will kill jobs in a time of crisis. or lend a voice of deception to the to the rhetoric of a bunch of profiteering Idiots. Who have no idea what there taking about. and the politicians that get money from special interest lobbyist. By either being hypocrites or profiteering lairs. Hey just because we disagree doesn't mean we hate the United States we love our country.The difference between you and us is money you want to take away safety nets that keep some of us from starving; so you and your Profiteering billionaires can rake in the left overs.I to am a voice of dissension I am allow that by the first Amendment of the Constitution of the UNITED STATED.If you don't like that then you can go flock Your selves.



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Saturday, November 13, 2010

Mitch Stewart O F A

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What we did together
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To: Arnold schwertman
Organizing for America
Arnold --

As the President said last week, "some election nights are more fun than others. Some are exhilarating; some are humbling."

Last Tuesday took place in a very difficult electoral environment. But I'm incredibly proud of the work we did this year. The plan we built and implemented together was unprecedented in an election like this -- it helped make the difference for dozens of good candidates, and it laid the groundwork for the fights ahead.

We put together a page to illustrate the impact we had.

Take a look at the work we did together.

In six months, Democrats, on front porches and on the phones, reached out to more than 80 million voters across the country. Volunteers organized 36,994 events in their neighborhoods, building on an infrastructure that was already the most ambitious grassroots operation in politics.

For get-out-the-vote weekend, you filled more than 200,000 volunteer shifts at 2,839 GOTV staging locations.

As Linda in Henderson, Nevada, said, "The most gratifying experience was talking to people one-on-one and telling them what the President and Senator Reid are doing. [We] really engaged people -- all different generations wanted to know how we were going to make our country better."

On Election Day, some folks on the West Coast got up at 4:00 a.m. to make calls to voters on the East Coast, and some East Coasters stayed on the phones until midnight, when the last polls closed in Hawaii and Alaska.

On a tough night, there were a few key races where this work put us over the top -- despite being outspent by corporate interests.

Take a look at the recap we put together -- and share it with friends:

http://my.barackobama.com/WhatWeDidTogether

The work we did together was not just about winning a single election, but about building this movement. It's about organizing our communities, talking to voters, and getting our message out.

It wouldn't have been possible without you.

As we move forward, I'm optimistic about the fights ahead because of the energy and effort you gave this one. And, as we lay out the path forward, we'll be relying heavily on your thoughts and your feedback.

I'm proud to fight alongside you.

-- Mitch

Mitch Stewart
Director
Organizing for America




Paid for by Organizing for America, a project of the Democratic National Committee -- 430 South Capitol Street SE, Washington, D.C. 20003. This communication is not authorized by any candidate or candidate's committee.

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Sunday, October 31, 2010

Bring back Sanity

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`
Good Morning
Garland : TX : USA | Oct 31, 2010
By Texas_Long_Horn2005yahoo.com
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One of My friends reported that Bring back the sanity was a success;All of you who took the time to go to Washington you have my thanks and gratitude for helping. But now is the time to put a little mussel behind the rally by getting out there and vote ; our problems will not go away by them selves. And we need clear headed leaders in Washington and state houses to deal with the problems that we have and won't try to drive us back into the dark ages. We have already been there and done that ;and there is no reason to go back there again.

We still have and average Unemployment rate of 10% that need to be delt with and a health care bill needs our help to survive the on-slot of the Republican party that want to repeal it .and like I said before they want your Social security put back into the hands of Wall Street the same group we bailed out a couple of years ago; and i still have a problem understanding the logic behind giving Our retirement money to the people that we had to bail out; if you can answer that please leave a comment and explain that one to me.And why should we give tax break to companies that Export jobs to Indigo China?So they can manufactor it there and sell it here at a larger profit. And do away with the minium wage completely; does this sound hair brained to you ? it does to me any way;

I'm a socialist that believes that this government should work for it's people not just the special interest groups. that corrupt our government and change Washington from a place of respect to a Whore house where if you got the money my soul is for sale to the highest bidder; that's no way for a government Of the People by the people and for the people to run.We can start out by getting rid of a few of the Craziest or stupidest in congress now like m.s. Bachmann and that dummy from Nevada that would be a good start. Oh yeah we aren't giving away Health care but we are trying to help you and small business afford it by giving you tax breaks and make the health care insurance industry play by rule that won't let them bend you over because you are sick by declaring your illness a prexisting condition so they won't have to pay it. and rule on Wall Street So we won't have to bail them out again. Tuesday November 2 will tell the tale as to where we are going

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One of My friends reported that Bring back the sanity was a success;All of you who took the time to go to Washington you have my thanks and gratitude for helping. But now is the time to put a little mussel behind the rally by getting out there and vote ; our problems will not go away by them selves. And we need clear headed leaders in Washington and state houses to deal with the problems that we have and won't try to drive us back into the dark ages. We have already been there and done that ;and there is no reason to go back there again.

We still have and average Unemployment rate of 10% that need to be delt with and a health care bill needs our help to survive the on-slot of the Republican party that want to repeal it .and like I said before they want your Social security put back into the hands of Wall Street the same group we bailed out a couple of years ago; and i still have a problem understanding the logic behind giving Our retirement money to the people that we had to bail out; if you can answer that please leave a comment and explain that one to me.And why should we give tax break to companies that Export jobs to Indigo China?So they can manufactor it there and sell it here at a larger profit. And do away with the minium wage completely; does this sound hair brained to you ? it does to me any way;

I'm a socialist that believes that this government should work for it's people not just the special interest groups. that corrupt our government and change Washington from a place of respect to a Whore house where if you got the money my soul is for sale to the highest bidder; that's no way for a government Of the People by the people and for the people to run.We can start out by getting rid of a few of the Craziest or stupidest in congress now like m.s. Bachmann and that dummy from Nevada that would be a good start. Oh yeah we aren't giving away Health care but we are trying to help you and small business afford it by giving you tax breaks and make the health care insurance industry play by rule that won't let them bend you over because you are sick by declaring your illness a preexisting condition so they won't have to pay it. and rule on Wall Street So we won't have to bail them out again. Tuesday November 2 will tell the tale as to where we are going



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Saturday, October 30, 2010

The First Lady

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The final stretch in Garland
...
From:
Michelle Obama
...
View Contact
To: Arnold schwertman
Arnold --

When Barack got back from a recent campaign swing, he couldn't stop talking about how every supporter he met was fired up.

From amazing crowds at his rallies with great candidates like Harry Reid and Barbara Boxer to meeting some of the OFA volunteers who are part of this effort, he couldn't be prouder of what you're doing.

And continuing that organizing in these final days -- with person-to-person conversations on doorsteps and on the phone -- is the single most important thing that any of us can do to ensure we're successful at getting out the vote.

There are thousands of phone banks and canvasses happening as part of get-out-the-vote efforts through November 2nd to make the difference in tight races across the country -- can you make it out in Garland?

Here are the details:

What: Get-out-the-vote event

Where: HD 113 - Canvass Staging Location
4125 Broadway Blvd Ste 230
Garland, TX 75043

When: Monday, November 1st
12:00 am

Yes, I can make it.

No, I can't make it.

In addition to the event at 12:00 am on Monday, there are events throughout each day, Saturday through Tuesday. Find others you can make it to here.

Thousands and thousands of you are out there every day, spreading the word about all we've done together over the last two years -- and how we need folks to vote for Democrats in order to keep moving America forward.

And Barack and I need you to keep it up in the final stretch -- please let us know if you can make it out in Garland:

http://my.barackobama.com/GOTVshifts

Thanks so much for all you do,

Michelle




Paid for by Organizing for America, a project of the Democratic National Committee -- 430 South Capitol Street SE, Washington, D.C. 20003. This communication is not authorized by any candidate or candidate's committee.

This email was sent to: Texas_long_horn2005@yahoo.com

Change Email Address | Unsubscribe

Friday, October 22, 2010

defenders of wild life

Thu, October 21, 2010 4:00:00 AM
Wolf Hater for Congress
...
From:
"Rodger Schlickeisen, Defenders of Wildlife"
...
Add to Contacts
To: texas_long_horn2005@yahoo.com
Help Stop Steve Pearce

Protect Wolves.
Stop Pearce.



Middle Fork Alpha Female as a pup (Photo: USFWS)

The last time Steve Pearce was in Congress, he fought to kill the federal program dedicated to preventing the extinction in the wild of wolves like the ones above.



Help Run Our TV Ad -- Donate Now

Donate now to help keep our hard-hitting TV ad on the air.



Our New TV Ad Exposing Steve Pearce

Our new ad highlights Steve Pearce’s record of corrupt, anti-environment politics.

Dear Arnold,

Steve Pearce hates wolves.

The last time he was in Washington, the former Congressman repeatedly voted against the environment and even tried to end the federal program to save gray wolves in the Southwest from extinction in the wild. Had he succeeded, there would have been no choice but to capture or kill the wolves that had been reintroduced in the wild.

Now Pearce is running for Congress… again. And Defenders of Wildlife Action Fund aims to stop him… again.

Help stop Steve Pearce. Donate now to help us keep our powerful new television ads on the air in New Mexico… and keep Steve Pearce from inflicting his radical anti-environment and anti-wolf views on the rest of America.

In 2008, Pearce abandoned his Congressional seat amidst a flurry of ethics allegations to run for Senate against conservationist (and Defenders of Wildlife Action Fund-backed candidate) Tom Udall, and he was trounced in the general election.

But now Pearce is running for his old House seat again. Worse, the latest polls have him in a virtual dead heat with current Congressman Harry Teague, a Defenders of Wildlife Action Fund-endorsed candidate and environmental champion. [2]

Please donate now and help us stop Steve Pearce and provide a voice in Washington for imperiled wildlife.

If Pearce wins, it would be bad news for wolves and other wildlife.

As a Member of Congress, Pearce made wild, inaccurate claims about wolves to drum up fear – falsehoods like wolves being most attracted to the sounds of crying babies (a patently false claim he then cited as expert testimony on the floor of Congress).[3]

But Pearce isn’t just bad for wolves.

As our hard-hitting new TV ad points out, he was twice named one of Washington’s most corrupt members of Congress by the independent group Citizens for Responsibility and Ethics in Washington. [4] And he took more than a million dollars from oil companies like BP [5]… before voting for billions in tax breaks to Big Oil. [6]

Our environment – and the wildlife it supports – can’t afford politicians like Steve Pearce. Please donate now to help us keep our TV ad on the air.

For the Wild Ones,
Rodger Schlickeisen, Defenders of Wildlife President

Rodger Schlickeisen
President
Defenders of Wildlife Action Fund

P.S. Please make a secure donation online now or call 1-800-425-4632 to contribute by phone.

UPDATE
Bison calf, Jim Peaco, National Park Service Your donations really do make a difference! Thanks to the support of 848 caring people like you, we were able to launch our new activist campaign aimed at ending the Yellowstone bison slaughter. So far, we’ve mobilized more than 10,000 people online through Care2.com, the Animal Rescue Site and Change.org

Notes

[1] http://www.hcn.org/issues/42.18/new-mexico-wolves-wilderness-drilling-and-latinos

[2] http://www.realclearpolitics.com/epolls/2010/house/nm/new_mexico_2nd_district_pearce_vs_teague-1257.html

[3] http://www.defenders.org/newsroom/press_releases_folder/2007/06_26_2007_rep._pearce_fails_to_end_southwest_wolf_recovery.php

[4] http://www.crewsmostcorrupt.org/files/beyond_delay_report.pdf

[5] http://www.opensecrets.org/industries/summary.php?ind=E01&cycle=All&recipdetail=M&sortorder=U

[6] In 2005, Pearce voted for the energy bill that contained $14.5 billion in tax breaks for oil & gas companies (HR 6, Roll Call 445, July 28, 2005):
http://clerk.house.gov/evs/2005/roll445.xml


Our new ad highlights Steve Pearce’s record of corrupt, anti-environment politics.






© Copyright , Defenders of Wildlife Action Fund

This message was sent to texas_long_horn2005@yahoo.com.

Please do not respond to this message.
Click here to update your information or unsubscribe.

Paid for by Defenders of Wildlife Action Fund at http://www.defendersactionfund.org/ and not authorized by any candidate or candidate's committee.

Defenders of Wildlife Action Fund provides a powerful voice in Washington to Americans who value our conservation heritage. Through grassroots lobbying, issue advocacy and political campaigns, the Action Fund champions those laws and lawmakers that protect wildlife and wild places while working against those that do them harm.

Defenders of Wildlife Action Fund can be contacted at:
1130 17th Street, NW
Washington, DC 20036

Wednesday, October 20, 2010

the smoking gun

Full View
Smoking gun
...
From:
Bill White
...
View Contact
To: Arnold Schwertman

Arnold,
Enable images to view progress -- We need to raise $1 a second between now and Saturday's deadline.
Click here to contribute >>
A "smoking gun" memo just surfaced showing how Rick Perry has abused Teacher Retirement System (TRS) funds to raise political contributions.

The memo shows how the friends and donors Perry appointed to the TRS board steered hundreds of millions of teacher retirement dollars -- and millions in fees -- to firms run by campaign donors.

The result? Fees skyrocketed while investment performance plummeted, putting 1.2 million retired educators in jeopardy. Meanwhile, the TRS chairman at the head of it all is now Rick Perry's campaign finance chair.

This isn't just another case of Rick Perry's corrupt political machine at work. It's the "smoking gun" that directly shows how Rick Perry milked our teachers' retirement for campaign cash!

Please contribute $5 to help us raise $300,000 by Saturday's media buying deadline. We must place advertising by then to ensure Texas voters know of this corruption before Election Day.

Rick Perry has raised millions of dollars from selling state government to his biggest campaign contributors -- and he's spending it to smear me.

We must raise $1 every second between now and Saturday's big deadline to keep up with Rick Perry's false, corruption-financed attacks in these final few days before Election Day. That's $300,000 in just three days.

Please contribute $5 to help us raise $1 every second between now and Saturday's big deadline -- and help us expose Rick Perry's corruption to every Texas voter.

The only way to stop Rick Perry's corrupt political machine is by electing a new governor. With less than two weeks until Election Day, your contribution is critical toward achieving that goal.

Thank you for all you have done to support my campaign.

Respectfully,

Bill White

P.S. Read more about Rick Perry's donors and appointees funneling teacher money to Perry's donors.


Contribute



Pol. Adv. Bill White Campaign


This email was sent to: Texas_Long_Horn2005@yahoo.com. If you do not wish to receive messages from Bill White for Texas, please click here to unsubscribe.

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Tuesday, October 19, 2010

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good morning
Garland : TX : USA | Oct 19, 2010
By ArnoldSchwertman
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Under the masterful pitching of Cliff LeeCliff Lee and the the power of Josh HamiltonJosh Hamilton and and a wild 9th inning that broke out the Texas Rangers are off to a 2 to 1 lead in the American League championship series 8 strong inning pitched by Cliff Lee and a 2 run homer by Josh Hamilton would have been enough but in the ninth the rangers small balled the Yankees to death scoring 6 runs and set the stage for Natalee finalize the rangers star closer to put an mercury cap to this game. to day Big game Hunter will take his shot at the Yankees and try to make it a 3 to one lead Wish us luck.

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Under the masterful pitching of Cliff Lee and the the power of Josh Hamilton and and a wild 9th inning that broke out the Texas Rangers are off to a 2 to 1 lead in the American League championship series 8 strong inning pitched by Cliff Lee and a 2 run homer by Josh Hamilton would have been enough but in the ninth the rangers small balled the Yankees to death scoring 6 runs and set the stage for Natalee finalize the rangers star closer to put an mercury cap to this game. to day Big game Hunter will take his shot at the Yankees and try to make it a 3 to one lead Wish us luck.



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