During the Bush years, the national outlays rose from $1.9 trillion in 2001 to $3.0 trillion in 2008, and the country went from enjoying a surplus of $128 million in 2001 to suffering a deficit of $459 million in 2008. We called Bush irresponsible. Perhaps the fiscal 2009 deficit of $1.75 billion should be viewed as an anomaly since it's the direct result of the $700 billion Bush TARP plan and the $800 billion Obama Stimulus Plan, both implemented to ameliorate the effects of the financial crisis and recession. But how do we justify an average deficit of
$700 billion annually from 2010 to 20019, which according to the
Obama budget, will be boom times? GDP will be likely rise to an eye-popping $23 trillion in 2019…
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In an ironic twist of fate, it may be the fiscally responsible communist Chinese who save capitalist America from its budgetary excesses. They may well have to teach the wayward youngster a lesson in fiscal responsibility by refusing to fund continuing trillion-dollar deficits. Tough love from the Chinese may be the only prescription that rescues America from impending financial doom. The new administration is behaving like a kid in a candy store and it will take a bitter pill from the Chinese to bring them to their senses.
Federal outlays will soar in fiscal 2009 to $4 trillion, or 27.4% of our
$14 trillion GDP, up from $3 trillion or 21% of GDP in 2008, and 20% in 2007. If we take the administration's rosy recovery scenario at face…
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After reading that one percent of the households in New York City, roughly
40,000 people, pay 50% of the income taxes in this city of more than 8 million inhabitants, it made be begin to wonder where we were headed as a nation. This astonishing figure brings home the practical consequences of relying on taxes from a small group of high-earners to fund city, state and national budgets. In the case of New York City, the Mayor can only hope that this small group does not become weary of their burden and move to Connecticut or West Palm Beach. If even only a small percentage does, the financial impact on New York in a recession would be devastating. If that problem isn't enough New York City and State will…
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