Mr. Obama’s Missing $1 Trillion

[Donnachaidh]

http://247wallst.com/2010/03/08/mr-obamas-missing-1-trillion/

The Congressional Budget Office said the national debt will be rise by $9.8 trillion by 2020. The figure is $1.2 trillion higher than White House estimates, which may put a new sword into the hands of opponents of the current budget.

The CBO estimates are lower than the President’s on both the receipt and expense sides of the ledger. The agency’s numbers assume that current government policies will remain in effect and that discretionary spending will rise at the rate of inflation.

The differences between the White House estimates and those of the CBO are profound when the ten years are added up. US debt held by the public is 67% of GDP under the President’s forecast, but 90% when the CBO estimates are used as the basis of calculations.

The biggest difference between the two sets of projections is that under the President’s plan spending accelerates in the latter part of the decade. The White House plan anticipates expenditures which are $2.3 trillion greater than the estimate offered by the CBO.



more at the above link ---

[monmouth]

1. You lost me at "Mr. Obama"...I know him as President Obama...n/t

[Donnachaidh]

3. then complain to the original writer. m/t

[monmouth]

4. Oops, sorry, my bad...n/t

[dmallind]

2. and the mnumbers don't add up

If the difference is $1.2T (or even $2.3T) how can the percentage of GDP change from 67% to 90% when we have a CURRENT GDP of 14T+? Even if you assume no GDP grwoth in 10 years you would need a difference of more than $3.5T to represent 23% of GDP!