Posts Tagged ‘inherited’

The Truth About Obama’s Bogus Claim Of Inheriting A $1.3 Trillion Deficit

February 3, 2010

Here’s Dick Morris setting the record straight on Obama’s fallacious claim that he “inherited” a $1.3 trillion deficit from George Bush:

BEHIND OBAMA’S PHONY DEFICIT NUMBERS
By Dick Morris
02.1.2010

President Obama was disingenuous today when he said that the budget deficit he faced “when I walked in the door” of the White House was $1.3 trillion. He went on to say that he only increased it to $1.4 trillion in 2009 and was raising it to $1.6 trillion in 2010.

As Joe Wilson said “you lie.”

Here are the facts:

In 2008, Bush ran a deficit of $485 billion. By the time the fiscal year started on October 1, 2008, it had gone up by another $100 billion due to increased recession-related spending and depressed revenues. So it was $600 billion. That was the real Bush deficit.

But when the fiscal crisis hit, Bush had to pass TARP in the final months of his presidency which cost $700 billion. Under the federal budget rules, a loan and a grant are treated the same. So the $700 billion pushed the deficit — officially — up to $1.3 trillion. But not really. The $700 billion was a short term loan. $500 billion of it has already been repaid.

So what was the real deficit Obama inherited? The $600 billion deficit Bush was running plus the $200 billion of TARP money that probably won’t be repaid (mainly AIG and Fannie Mae and Freddie Mac). That totals $800 billion. That was the real deficit Obama inherited.

Then…he added $300 billion in his stimulus package, bringing the deficit to $1.1 trillion. And falling revenues and other increased welfare spending pushed it up to $1.4 trillion.

So, effectively, Obama came close to doubling the deficit.

His program of fiscal austerity in this new budget is a joke. If he wanted to lower the deficit, here’s what he could do:

1. Cancel the remaining $500 billion of stimulus spending and

2. Cancel the $300 billion of spending in stimulus II.

Presto! The deficit is cut in half.

Those are the real numbers.

And for the record, it becomes impossible to blame Bush OR Republicans for the 2008 fiscal year spending that occurred in 2009 for the simple fact that Republicans OPPOSED that spending virtually unanimously.

This is part of the slimey lies that characterize Barry Hussein.

But there’s more.  While blaming Bush for that $500 billion of TARP money that has been repaid, Obama wants to take it and use it for more of his own projects.

That money has been repaid.  You can’t put it on Bush’s tab, demonize him for it, and then break the law by refusing to put it back into the Treasury and pay down the debt.

So Obama is – once again – a liar.  He doesn’t WANT to return that TARP money which should legally be used to pay down the deficit because then he 1) couldn’t demonize Bush for the “$1.3 trillion dollar deficit” that he really didn’t inherit from Bush; and 2) couldn’t use that money – that BUSH money – for his own political ends.  While continuing to blame Bush for it.

That’s just dishonest.

I might point out that Bush’s TARP bank bailout plan failed the first vote as REPUBLICANS voted against it.

But there’s more to it than that.  A discussion on Sayanythingblog begins to reveal more than Obama wants you to know:

The last budget approved by a Republican Congress and a Republican President was the 2007 one.  That turned in a deficit of about 160 Billion dollars.

The the Democrats took over Congress.  Obama and his cohorts tripled the deficit.

Then they tripled the deficit again for the 2009 (current year budget.)

In no way did Obama oppose these higher budget deficits.

I’m not giving Bush a free pass, but these deficits are Obama’s fault as much as anyone.

Here’s a dirty secret: Bush didn’t increase the deficit – the Democrats running Congress did that.  Under the separation of powers, Bush couldn’t spend a single dime unless Congress authorized him to spend it.  (Hint: that also explains why Clinton was able to provide a surplus: Republicans were in charge of Congress and FORCED him to be spendthrifty).

And so we come to the words of Rep. Jeb Hensarling, the senior Republican on the House Budget Committee.  He pointed out this little factoid that Democrats and their mainstream media allies don’t want you to know:

The old annual deficits under Republicans have now become the monthly deficits under Democrats:

In the 12 years that Republicans controlled the House, the average deficit was $104 billion (average of final deficit/surplus FY1996-FY2007 data taken from Table F-1 below).  In just 3 years under Democrats, the average deficit is now almost $1.1 trillion (average of final deficit/surplus FY2008 and 2009 data taken from Table F-1; FY2010 data taken from Table 1-3).  Source: CBO January 2010 Budget and Economic Outlook

In reality, Obama didn’t “inherit” anything: he personally voted for virtually all the spending under the Bush presidency that he is now whining about.  While he may have “inherited” it as president, he voted for it as senator.

So Obama is literally saying, “All that stuff that I voted for was all Bush’s fault.”

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Obama Refuses To Take Any Responsibility For His Failing Presidency

December 10, 2009

There comes that moment in every great man’s life when he realizes that it’s time to put up or shut up.

Obama hasn’t reached that moment yet.  And I personally don’t believe he ever will.  Or even can.

Obama gave a speech at the Brookings Institute yesterday, December 8.  He said:

One of the central goals of this administration is restoring fiscal responsibility. Even as we have had to spend our way out of this recession in the near term, we have begun to make the hard choices necessary to get our country on a more stable fiscal footing in the long run. Despite what some have claimed, the cost of the Recovery Act is only a very small part of our current budget imbalance. In reality, the deficit had been building dramatically over the previous eight years. Folks passed tax cuts and expensive entitlement programs without paying for any of it – even as health care costs kept rising, year after year. As a result, the deficit had reached $1.3 trillion when we walked into the White House. And I’d note: these budget busting tax cuts and spending programs were approved by many of the same people who are now waxing political about fiscal responsibility while opposing our efforts to reduce deficits by getting health care costs under control. It’s a sight to see.

To begin with, sixty percent of the overall deficit from the last ten years has occurred during the last three year period that the Democrats have been in control of both the House and the Senate.  Any claim that Democrats were the fiscally responsible party is just frankly a complete lie.

And as we look to which party is accumulating debts that have never been seen in the history of the human species, take a look at this graph of reality, to the tune of Joe Wilson’s hit song, “You lie!”

Link

You don’t have to be an economist or financial expert to see that the Marxist red Obama bars utterly dwarf the gray Bush bars.

Let’s take a look at the real numbers:

The Obama Administration Budget released today contains a total $2.867 trillion in red ink, just 38 days after Obama’s inauguration on January 20.

In contrast, the Bush Administration ran up a $2.7519 trillion deficit over an 8-year period that included 7 years of war in Iraq and Afghanistan; the economic downturn after 9-11; the addition of a prescription drug benefit to Medicare; a massive increase in federal education spending under No Child Left Behind; and the current recession and 2008 Wall Street bailout.

Bush Surplus/Deficit Fiscal Years 2001-2008 (billions of dollars)
Congressional Budget Office (CBO) Statistics
2001    128.2
2002    -157.8
2003    -377.6
2004    -412.7
2005    -318.3
2006    -248.2
2007    -160.7
2008    -454.8
TARP    -750.0
Total  -2751.9

Obama Budget Deficit FY 2009/10*
Office of Management and Budget (OMB) Statistics
2010       -1750
2011       -1117
Total      -2867

*The Obama deficit total does NOT include the impact of the $787 billion Stimulus package approved by House Democrats in February.  It also excludes any effect of an Obama contingency request for an additional $750 billion to use for bank rescue.  If the contingency amount is included the total deficit for FY 2009/10 is $3.617 trillion

So what we basically learn is that Obama’s deficits in just two years are greater (which means worse) than Bush’s entire 8 years in office.  And if you factor in the spending that Obama racked up all by his lonesome, he accumulated greater deficits in just ONE year than did Bush in eight.

We need to realize that the $787 billion stimulus – which is not counted under Obama’s deficit that STILL outdoes the deficits racked up during Bush’s entire eight year presidency – was not a “mere” $787 billion.  It was actually $3.27 TRILLION according to the Congressional Budget Office.

As Newsmax reporter David Patton put it:

The gargantuan stimulus bill Congress has rubber-stamped with virtually no Republican support contains tens of billions of the very spending projects that made the legislation a lightning rod for criticism.

And although the bill is generally described as costing $787 billion, the Congressional Budget Office reports the actual figure is now closer to $3.27 trillion.

That stems from the $744 billion it will take to pay for the additional debt the legislation will create, and $2.527 trillion in increased spending from the new and expanded programs the bill will spawn over the next decade.

That put-us-into-the-poorhouse stimulus spending was ALL on Obama.  And while we go from fiscal year to fiscal year (i.e. October 1 to September 30) to “officially” calculate a president’s deficits, it is simply a moral crime to saddle George Bush with Obama’s $3.27 trillion porkulus that no Republicans voted for, and then blame Bush for the most massive spending program in human history that was passed by Obama and for Obama.

Nor do the numbers reflect that President Bush only used HALF of the $750 billion TARP money, and left the rest of it for Obama to spend.  That money all went on Bush’s deficit “tab,” but thanks to George Bush’s efforts, Obama got half of it for himself.  Pretty sweet deal for Obama.  And yet he still bit the hand that fed him:

(CBS/AP) Acting at Barack Obama’s behest, President George W. Bush on Monday asked Congress for the final $350 billion in the financial bailout fund, effectively ceding economic reins to the president-elect in an extraordinary display of transition teamwork.

Obama also sharply criticized Bush’s handling of the money and promised radical changes.

Bush’s move sets the stage for Obama to get swift access to the $350 billion and the opportunity to overhaul the much-criticized rescue package after taking office next Tuesday.

Bush’s classiness was outmatched by Obama’s classlessness.

In any event, no matter how you slice it, we are looking at Obama red ink that so profoundly drowns out the Bush red ink that only a fool would say anything else.

And yet that is precisely what Obama is doing.

Here we are, just today, with Democrats passing another $1.1 trillion in spending in a 1,088 page, earmark-laden pork package, with not one single Republican supporting it.

And they are determined to pass a health care that’s going to cost this country at least $2.5 trillion every ten years.

And take a moment to calculate America’s “share” of the $10 TRILLION dollar tab that Barack Obama and many in the Democrat Party are trying to commit this country to pick up in the guise of saving the planet from “global warming.”

We’re seeing more spending and more deficits and more debt under Barack Obama than any human being who has ever lived has ever seen in human history.  And he blames Bush for it?

What’s wrong with him?

Any real leader worth a dog turd in the back yard doesn’t waste time blaming the leader before him for problems.  Rather, he puts that “the buck stops here” sign on his desk, he takes responsibility for the situation he is facing, and he solves the problem.

If I had a nickle for every time Obama has said that he “inherited” the crises he is now facing, I would be very rich indeed.  As it is, the president who promised that he would put “an end to the petty grievances and false promises, the recriminations and worn-out dogmas that for far too long have strangled our politics” has defined himself by doing the precise opposite.  George W. Bush, by contrast, inherited a severe recession following the dot com bubble collapse beginning in December 1999 just as Clinton was leaving office that led to $10 trillion in equity being erased.  And of course he inherited the foreign policy and domestic security failures that led to the 9/11 attack – which damaged the economy even further.

But you didn’t find Bush giving speech after speech (or any speeches at all) blaming his predecessor.  Rather, Bush “manned-up” and took responsibility for the nation as it was.

That may be why Bush has made such a dramatic comeback in public opinion:

Perhaps the greatest measure of Obama’s declining support is that just 50% of voters now say they prefer having him as President to George W. Bush, with 44% saying they’d rather have his predecessor. Given the horrendous approval ratings Bush showed during his final term that’s somewhat of a surprise and an indication that voters are increasingly placing the blame on Obama for the country’s difficulties instead of giving him space because of the tough situation he inherited. The closeness in the Obama/Bush numbers also has implications for the 2010 elections. Using the Bush card may not be particularly effective for Democrats anymore, which is good news generally for Republicans and especially ones like Rob Portman who are running for office and have close ties to the former President.

More and more Americans are getting furious that Obama is spending all his time and energy blaming Bush for what is going on during Obama’s presidency.

The very real question is whether Obama can do anything OTHER than blame Bush.  Thus far, he hasn’t solved much of anything.