Carter's final budget $27.5 billion deficit

[Tony_FLADEM]

The 1982 budget that Jimmy Carter sent to Congress last week was a cold slap of reality for Ronald Reagan on the eve of his Inauguration. The legacy of federal largesse that Reagan inherits is far worse than he had suspected, and the yawning budget deficit severely threatens his strategy to stimulate the U.S. economy by cutting taxes.

The new budget does little to reverse the federal spending machine. Outlays in fiscal 1982 are slated to rise by 11.5%, to $739 billion, leaving a projected deficit of $27.5 billion. More than 75% of the payments are considered "uncontrollable." These include escalating social expenditures like Medicare benefits that are mandated by law and can only be reduced by congressional action. Fully 30% of spending is now indexed to rise automatically in tandem with inflation.

Overall, Carter in his final budget was generous with the Pentagon and stingy with almost everyone else, where he had any choice in the matter. Military spending is projected to rise by 14.5% next year, to $184.4 billion, or an increase of 5% after adjustment for inflation. Carter has already granted a 16% pay hike to servicemen in order to attract and keep better recruits. More money will be used to stockpile spare parts, and a mix of new ships, fighter planes, Trident submarines and MX intercontinental missiles will be added to U.S. armaments in 1982 and in future years




Reagan's budget deficits averaged $200 billion each year.

[Bigmack]

1. Don't use facts to attack St. Ronny the Confused! nt

[no_hypocrisy]

2. $27.5 billion?? Those were the days . . . .

http://www.youtube.com/watch?v=V1u4NYpwq_U

[Toucano]

3. I want to save this article.

Military spending increased by 14.5%!!

16% pay hike to servicemen?

"Those Democrats always gut the military and don't support our troops."