Clinton inherited a $290 billion deficit from George H.W. Bush

[RedG1]

Clinton inherited a $290 billion deficit from George H.W. Bush. He reversed Bush's and Reagan's trickle down economic policies, raising taxes on the wealthy, and reducing them on the working and middle classes. He was able to reduce the deficit every single year of his presidency. By 1997, the government was running budgetary surpluses, the first since 1969. He delivered a $230 billion surplus in 2000.

The stock market more than tripled under Clinton's tenure. The Dow went from 3,241 when he took office to 10,587 on the day he left. It actually declined under Bush's tenure, from 10,587 on the day he took office to 8,281 on the day he left. Between the recent stock market collapse and the housing crash, Bush destroyed more than $14 trillion in consumer wealth, a staggering, almost incomprehensible legacy of devastation that will haunt Americans for decades to come.

[Kolesar]

1. Senator Roth conned IRA holders into paying taxes on all their gains in an instant

... by giving them the opportunity to do a Roth IRA conversion. Then the market deflated.

That did help to balance the budget.

[ejpoeta]

2. that's just silly!! clinton left bush a deficit and clinton was one of the worst

presidents ever. now keep repeating that until people believe it.

:sarcasm:

[RedG1]

6. Silly ?????

The gross national debt compared to GDP (how rich we are) reached its lowest level since 1931 as Reagan took office in 1981. It skyrocketed for 12 years through Bush senior. Clinton reversed it at a peak of 67%. Bush junior crossed that line on Sept. 22 and hit 69% on Sept 30. That's the highest it's been since 1955. (sources)
Bush did three things to skyrocket the debt from $5.7 trillion to $10 trillion:
1. He lowered taxes on the rich (by far the biggest item).
2. He invaded Iraq instead of winning in Afghan-Pakistan (another $600 B).
3. He deregulated Wall Street speculators.

[ejpoeta]

7. apparently you didn't read past the headline. i was being sarcastic.

because the republicans keep saying that they junior was left with a recession and saying a whole bunch of other obvious lies but they keep repeating them to try to make them true.

[MilesColtrane]

3. But...but, he had the sex in the Oval Office!

[stray cat]

4. So Obama gets another 6 years particularly since he inherited a hell of a larger disaster

[ehrnst]

5. the term "Deficit" can be used different ways - so be careful how you word things.

Trade deficit pertains to the difference between the amount of imports and the amount of exports. By saying the U.S. has a trade deficit, you are saying that the U.S. imports more than it exports.

Deficit Spending means that we are spending more than is budgeted for that year.

To eliminate "deficit spending," and eliminating a "trade deficit" are two very different things.

So, you need to specify what is meant when you say "deficit" - many people thought that the budget surplus under Clinton meant that we didn't have a trade deficit anymore.

[Gaedel]

8. Budget surplus

The budget surplus under the last Clinton years was distorted by capital gains taxes being paid by the dot-bombs. When the dot-bomb bubble burst, that taxable income disappeared overnight. Al Gore would have been hit with the same problem had he entered the White House. Was there a concerted effort to get the deficit under control in the Clinton years? Yes, there certainly was, but the spectacular climb in tax revenues (very little due to the top rate of 39.6% versus 35%) had less to do with it than the economic boom of the nineties climaxed by the dot-bomb bubble.