Following in the footsteps of his Republican predecessor, President Obama has announced a new budget proposal which will — you guessed it! — sink the American government even further into debt. The House Republican Conference has provided some discouraging stats on the new budget:
|President Obama’s FY 2013 Budget Proposal|
|(In billions of dollars)|
And now, the gruesome details…well, some of them:
- The president’s budget projects a $1.3 trillion federal deficit in 2012, or 8.5 percent of Gross Domestic Product (GDP).
- The 2012 budget deficit would be the second highest of all time, only behind 2009.
- Despite the president’s promise to cut the deficit in half in four years, the deficit has grown by 190 percent from 2008 to 2012.
- Under this budget, President Obama will have been responsible for the five highest deficits of all time:
* $1.413 trillion in 2009
* $1.294 trillion in 2010
* $1.299 trillion in 2011
* $1.327 trillion in 2012
* $901 billion in 2013
- Tax increases in the president’s budget include:
* $1.4 trillion in income tax increases on families and small business owners earning $250,000 (couples) or $200,000 (individuals).
* $143 billion by increasing the death tax.
* $41 billion in tax increases on energy producers.
* More than $300 billion in additional tax increases.
- While the president’s budget includes the single largest tax increase ever on families and job producers in the name of “fairness,” it fails to reform or eliminate tax subsidies and special preferences for the president’s allies, like those that were given to Solyndra. The budget proposes:
* $2 billion in new tax credits for the production of advanced technology vehicles;
* $1.7 billion in new tax credits for medium and heavy duty alternative-fuel commercial vehicles;
* $3.8 billion to “extend and modify certain energy incentives” which could include Clean Renewable Energy Bonds;
* $4 billion for a “new Manufacturing Communities” tax credit;
* $2.7 billion in additional tax credits to extend a stimulus program encouraging investments in advanced energy manufacturing projects which would reward renewable energy companies like Solyndra; and
* $4.7 billion for in new spending for “strengthening the teaching profession,” while just last year GAO found 82 duplicative and wasteful “teacher quality programs.”
- The budget would spend $3.803 trillion in 2013 or 23.3 percent of GDP. This would be the highest dollar amount of government spending in history.
- The budget would increase federal spending each year, reaching $5.82 trillion in 2022.
- Over ten years, the president’s budget would increase the size of the federal government by 53 percent.
- Under this budget, the president’s reckless spending spree continues to drive our debt crisis. This budget would increase the gross national debt by $11 trillion between 2012 and 2022, from $15 trillion today to $26 trillion in 2022.