The media has picked up on my analogy of Congress as College Kids spending on their parents credit cards. Without factoring in the Stimulus Plan, the deficit is already expected to break records in 2009. We're seeing the effects of the CEO Bailout, the UAW Bailout, combined with "run of the mill" out of control spending already:
WASHINGTON – The Treasury Department said Monday it will need to borrow $493 billion in the first three months of this year, a record amount for the January-March period.
The Treasury Department figure comes on top of $569 billion the government borrowed from October through December, the all-time high for any quarter. AP 2009 Feb 02
To give you some perspective, we had to borrow money to force taxpayers to buy into banks we didn't want to pay those Billions in bonuses to the CEO's already. The $1.062 Trillion we will have borrowed in the first six months is already more than any other deficit in our Nation's History. And this does not include the stimulus package.
The Debt Stimulus package is approximately $5,600 PER taxpayer, all debt, all the time. Or about $2,730 PER American, including each of those new octuplets recently born, all debt, before interest.
Both the Stimulus Package and the CEO Bailout Bill are more than we spent in 5+ years of War in Iraq, by hundreds of billions EACH. Both are greater than the largest single budget item: Social Security which sits at $644 Billion. The Debt Stimulus package is 3.15 times what we pay in interest on the debt already accrued.
The Government estimates it will collect only $2.7 Trillion this year and has already approved spending $3.1 Trillion before the Stimulus and before the UAW Bailout and before the CEO Bailout. In fact, the 3 supplemental spending bills will be more than 3x what the deficit already was budgeted for in 2009. And we borrowed more in the first quarter of the fiscal year as was budgeted to borrow for the entire year. We will borrow more in the second quarter of the fiscal year than was budgeted for the entire year, before the Debt Stimulus package.
One is forced to wonder if The Party (DNC) is purposely attempting to bankrupt the Federal Government.
On the other hand, an economic stimulus package is needed, not an $819 Billion pork spending package. Increased spending on condoms should be left to individuals, not the Federal Government. We need to prioritize our spending but cutting the Military during a time of War is not the answer. Whether Murtha and Frank get their 25% or Obama cuts the DoD by 10%, this will cost jobs, not increase them. It will put more people on the unemployment rolls.
Obama promised to fully support the Troops in his first visit to the Pentagon and again in his Superbowl message to Troops:
“All of you who are serving in the U.S. armed forces are going to have my full
support, and one of my duties as president is going to be to make sure that you
have what you need to accomplish your missions,” he said.
That is not accomplished by cutting the DoD budget as he told the Joint Chiefs to plan for during the same visit. Politicians are paid to decide the ratio of spending on bullets to beans, but instead Our Congressmen are choosing to buy condoms. Somehow, I don't think Trojan is in trouble.
So long as Speaker Pelosi can keep the "moderates" in line, she has no need to cross the aisle. Sadly, Our Representative is toeing her line. The Party (DNC) has absolute power and she is expressing the CA Idealists ways.
Mike Huckabee noted on his new Fox Show that $1 Trillion dollars would buy Microsoft, Google, Apple, Coca-Cola, and Pepsi all and completely. Glen Beck showed us a chart that demonstrated the new Treasury Secretary's plan to print more money. I haven't found a source for his numbers, but if they are accurate, it would appear that soon everything will be worth half of what it currently is.
I fully expect that the Debt Stimulus Bill will pass and be signed by President Obama. It will have made it to his desk with Representative Gordon's vote, at least in the first round. There will likely be a second round after the Senate gets done with it but it's unlikely to have the fat trimmed off of it. The last time, the Senate merely increased the fat (CEO Bailout Bill).
And the UAW Bailout Bill saved no jobs either. The Auto Companies still cut back on parts orders and production, despite the $17 Billion. They did so, because Americans aren't buying their cars and padding the wages of the 70k/year UAW members only increases their ability to buy a new car on the backs of their customers who still can't afford their product.
Their pleas to save the jobs of waitresses paid in tips by auto parts supplier's workers were nothing more than marketing and advertising for their own overpaid salaries.
So, if the Debt Stimulus package passes, who will first see the recovery? Other than Trojan, construction companies. Not the homebuilders, the commercial and industrial companies. A portion of the bill is dedicated to infrastructure improvements and school construction. It will have an effect, but not the effect that should be expected by $819 Billion, because too much is dedicated to programs that have no business being included in "economic stimulus."
Perhaps it's time for our Congressmen to cut their own salaries back to the $1/year they have demanded of CEO's, until they can get their spending under control.