Curators note: Many of the articles in the economic category support a robust economy. However, the resources flowing through the economy now are funded by government borrowing. Because Republican cut taxes to corporations, tax collections are down. This is highly reckless and fiscally irresponsible strategy.
After Republican have created this serious problem, expect them to blame government entitlements and want to cut Social Security, healthcare and government and demand further cuts to solve the fiscal and budgetary problems they have created. Keep in mind that much of the US borrowing is from foreign countries like China, so the American people will be enriching foreign countries while healthcare, Social Security and services will be cut in the US. Another “solution” that Republicans will offer is to sell public land and public services to the private sector — privatization. This is another Republican strategy that effectively takes from the American people and give to corporations and foreign entities with enough money to buy us out.
This is one of the biggest con jobs, or hoaxes, that has ever been run on the American people.
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The U.S. budget deficit is reaching levels that are abnormally high for a robust economy, and lawmakers from both parties are proposing ideas that would make the deficit swell even further.
The government spent $895 billion more than it brought in from taxes and other revenue sources during the past 11 months, the Congressional Budget Office said this week, a 33 percent increase from one year before.
Typically, the deficit shrinks during strong economic times, as the need for costly government support wanes and tax revenue rises. In 2000, the last time the unemployment rate was at its current level of 3.9 percent, the government ran a surplus, meaning tax revenue eclipsed all spending.
The dynamic is much different now.
Corporate tax receipts fell 30 percent in the past 11 months, the CBO said, precipitated by the large reduction in rates from the massive tax overhaul passed by Congress last year. Spending levels have risen sharply as a result of a bipartisan agreement to shed budget caps put in place to maintain fiscal discipline and pour more money into both military and domestic programs.
