Thursday, February 17th, 2011 11:12:38
Obama’s Budget Increases 2012 Deficit by a Third
Obama’s budget increases 2012 deficit by a third. Yes, that’s correct. President Obama submitted his proposed 2012 budget this past Monday. This budget produces a $1.1 trillion deficit for 2012. This deficit is 33 percent higher than his 2011 budget projection, which targeted the 2012 deficit at $828 billion. This higher 2012 deficit is equivalent to $3,217 per person in the United States (based on the U.S. Census Bureau’s population clock).
This year’s forecast of the 2011 deficit is $1.6 trillion, 30 percent higher than Obama’s 2011-budgeted deficit of $1.3 trillion.
Let’s step back and take another look at what has happened: The government spent $265 billion less in 2010 than had been forecast for 2010 at the time of the 2011 budget.
The receipts (read, taxes on companies and individuals, i.e., their expenses) for 2010 were about on target, actual $2,163 billion versus a forecast of $2,165 billion. This change in spending produced a 2011 deficit $378 billion, or 30 percent higher than originally budgeted.