Back on October 7, when the Congressional Budget Office reported that the federal deficit had ballooned to a massive $1.4 trillion during President Obama’s first year on the job, Katie Couric’s CBS Evening News did not tell viewers. But Couric finally caught up to the bad news after the Obama White House put out its final numbers on Friday afternoon.
Couric disclosed the news in a brief item that never mentioned The One by name: “It's the biggest IOU Uncle Sam has ever written. Government figures out today show for the last fiscal year, which just ended, the United States spent a record 1.4 trillion dollars more than it took in. That's three times more than the year before.”
New York Times reporter Jackie Calmes this morning noted that Obama’s deficit is much larger as a percentage of GDP than during the 1980s, when Democrats attacked Ronald Reagan’s tax cuts as fiscally reckless:
Economists generally agree that annual deficits should not exceed 3 percent of the GDP, and that is the level President Obama had vowed to reach by the end of his first term in 2013.
But subsequent spending and tax cuts to stimulate the economy, and lower-than-expected revenues as the recession deepened before bottoming out, combined to push the administration’s deficit forecast to 4.6 percent of GDP for the fiscal year 2013.
At 10 percent of the gross domestic product, the 2009 deficit is the highest since the end of World War II, when it was 21.5 percent. At that level, it already has become a bigger economic and a political issue than any time since the late 1980s.
As to President Obama’s vow to slash the deficit by the end of his first term, perhaps more media skepticism would be warranted. The Heritage Foundation produced an excellent chart last March (before the big health care debate) comparing the deficits under President George W. Bush, which President Obama frequently derides as “the mess” he inherited, and those projected for the next ten years under Obama’s policies. It shows Obama’s red ink towering over the over-spending of the last eight years.
Of course, if President Obama’s solution is to tax the rich, tax health insurance, tax energy and anything else that moves, the deficit may be smaller as a percent of GDP but the government’s share of the economy would be much larger, supported by a shrinking private sector. Maybe a little media skepticism of that would be warranted, too — but I’m not holding my breath.
—Rich Noyes is Research Director at the Media Research Center.
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Comments Policy
Even more disturbing than
October 17, 2009 - 14:25 ET by MidAmericaEven more disturbing than where we are is the trendline of where we are heading. In a very short time todays bad figure will be tomorrows good figure.
Isn't it just like you
October 17, 2009 - 14:43 ET by bse5150Isn't it just like you Rethugs with your Busshitler lies and your Halliburton connections to make an issue of Obama forcing the deficit into the trillions when Bush (who lied and people died) had deficits in the BILLIONS! That's BILLIONS with a 'B', you Right Wing Hate Mongers!
yeah, I heard some obama
October 17, 2009 - 14:52 ET by MidAmericayeah, I heard some obama appologist say today that these enormous deficits are Bush's fault because he started it.
"MOM!! HE DID IT FIRST!!"
Yeah!
October 17, 2009 - 15:28 ET by Willis_Leon_JohnsonAnd the one tripled what he inherited from the democrat house and senate.
The problem PRESIDENT BUSH had was failing to tell the socialist in congress "NO!!!"
Bush couldn't have spent it in the house hadn't passed it with their uncontrolled spending.
Oh WAIT!!! Didn't the one vote for all that extra spending when he was in the senate?
My word! I believe he 'inherited it' from his own dumb self.
http://gjresult.com
Once theWH releases its
October 17, 2009 - 14:39 ET by kefkaOnce theWH releases its 'official' deficit numbers CBS feels that it can finally report on the deficit safely. Thanks 'watchdog' media!!
Of course,
October 17, 2009 - 16:07 ET by In Excessthey report on it on another Friday.
There is more 'Friday news dumping' by this administration than I have ever seen in my life. And now the MSM is following suit.
That's change?
WOW! Perky woke up from her
October 17, 2009 - 14:46 ET by BO STINKSpost coital coma and discovered something negative about her lover! What will she come across next? Let's make sure we tune in to find out! NOT. Katie no matter what issue you finally decide to report the truth about: too little too late. You will never be able to improve your pitiful ratings. Go back to the harem and wait for his O-ness to call you to his chamber again. May be a long wait, sweetie.
"How strangely will the Tools of a Tyrant pervert the plain Meaning of Words!" Sam Adams
We have POTUS and SCOTUS and TOTUS.
October 17, 2009 - 14:54 ET by CO2MakerNow we can add Couric Operatives In The United States, which would be .... well, you do the acronym!
And if you write about it, you can say it's a "post-******" message. If, for example, Sarah Palin actually pushed back during the "what do you read each day" interview, the press could have talked about ******-interruptus. Etc. etc.
How much money does CBS lose in her salary each year? $10-$15 million? Shouldn't a ******-pay-czar do something about that?
Stop it! CO2 - my tummy hurts from laughing!
October 17, 2009 - 14:59 ET by BO STINKSRead your response out loud to my hubby (kids are grown so no worries). He and I were ROFL!!! Love your analogies! Gotta go, but have a great weekend!
"How strangely will the Tools of a Tyrant pervert the plain Meaning of Words!" Sam Adams
Bluddy Hell!
October 17, 2009 - 15:18 ET by BondPlainBondNow I have to wipe all the soda that sprayed outta my mouth while reading your post and laughing so hard off my monitor.
Thanks! No, really! *S* Thanks!
About Couric
October 17, 2009 - 15:15 ET by BondPlainBondI think she should keep her head down, work really hard and learn about current events and journalism.
Hand Katie a mop!
October 17, 2009 - 16:02 ET by jaywlI'm sure that Katie will realize her mistake of not mentioning Obama and will remember to blame Bush for the whole dang mess! After all, the first quarter was all Bush's. Bush was in office for most of the longest month of the second quarter, so we'll give it all to George. After the hard work Big O put in during the second quarter trying to find the mops and buckets George hid, our Dear Leader spent most of the third out of the country relaxing and pointing out his country's despicable arrogance and dismissive derisiveness (he has such a way with words); so we can't really blame him for that quarter, can we? That makes it a majority of the year and plants President Bush firmly in the ground as the Magic Beanstalk rising high into the clouds with not gold in the cusp but a passel of hot checks for the kids and grand kids.
This will give her a year to figure out what to say about the 2010 mess. Katie, get your mop!
Oh Hell
October 17, 2009 - 16:59 ET by ThoreauGuys, I just took a look at the National debt clock and it says that we're up to 105 TRILLION in unfunded laibilities. Can anyone tell me how we are going to pay the interest on that, much less the principal? Is this due to the printing/inflation of the dollar recently? I could have sworn it was at 58 TRILLION a month ago.
http://www.usdebtclo...
OMG, even Katie caught on!
October 17, 2009 - 18:01 ET by Jake6OMG, even Katie caught on! What next? Breaking News: The sun rises in the East. Film at eleven.
I just feel so secure knowing the MSM a.k.a. the "effete" media is on the case.
Of course she did`nt mention
October 17, 2009 - 18:07 ET by chessplayerOf course she did`nt mention it until now. The Perky One only believes what comes from The Ones Ministry of Truth.
It all really makes sense if you think about it...
October 17, 2009 - 18:29 ET by SparkyVAFirst, stop blaming the President. He is only a cheer leader. (Same goes for Bush.) The real criminals here are the senate and the congress. They have the big stick and Presidents don't really want to shut down the country so they really have to think twice about standing up to Congress.
Second, Obama has set us up for a hugh surge in inflation next year. One story today suggested the dollar will fall from 90 yen to 50 yen. That equates to 80 % inflation (dollar will buy 45% less next year). What a great way do do away with our hugh debt load. Pay back with cheaper dollars. Of couse everything foreign will cost more, but the bright side of it will be that "Made in America" will be able to compete with "Made Elsewhere" and manufactoring might come back to the US of A providing Cap and Trade is aborted (dies in birth).
I don't for a minute think Obama is smart enough to see this silver lining, but all is not terriable, especally if you owe money. Those old people (I am only 62 with no retirement plan) have already lost most of their pension, and inflation will doubly hit them, their healthcare will be cut, but not to worry, they will be getting another $250 to pay for their coffen er leak proof bag, to be buried in.
Why not smile, things can't get much worse, or can they?
First, stop blaming the
October 17, 2009 - 23:46 ET by Dan The Man 2First, stop blaming the President. He is only a cheer leader
No he is more than that, in this case Duh Vain One is a coach. True he does not run the plays but he basically calls approves them and even plans them. The President is complicit in signing into law and bills, including those that spend money.
President Bush was complicit in this regard also. He was trying to fund a war deemed unpopular and thereby felt he had to be complicit.
But, the congress is a problem and does control the purse strings.
Know how to keep a Troll in suspense? Ill tell ya in the morning.
and Now
October 17, 2009 - 19:05 ET by Chattychitothe senate wants to pass another bill under the guise of Economical relief package, "They call their growing list
of proposed economic relief efforts an extension of Obama's original $787 billion stimulus package" who are they kidding it is stimulus package. talk about lying straight in your face.
And why should they pass it when they still have most of the last stimulus package unspent?
No need to pass the recovery bill Democrats, if you still have all that money floating around use it for economical relief. But we all know what you are trying to do drive America into the ground.
the Dems and Libs are bullying America into socialism by passing un-needed and un-necessary bills and spending more than the country takes in.
When will Couric and the rest of MSM fully wake up from their Obama kool-aid hangover and realize they helped to kill America?
Here's a fact that's worth the knowing, So treasure and mark it well. When the mind is through with growing, the the head begins to swell. Sir Nosmo King
What cannot be estimated
October 17, 2009 - 19:04 ET by richb313What cannot be estimated is the reluctance of getting any countries to buy US Treasury Bonds. It was OK to run a deficit when there are plenty of buyers but now that the dollar is rapidly sinking into irrevelance these same countries that bought our debt have little incentive to continue. Thier investment is ALREADY worth less than when they bought it. Interest rates on Bonds will have to rise to double digits to keep pace with the falling dollar. It will not be too long, maybe as early as the 1st of the year, before we are FORCED into making huge cuts in the Federal Budgets by outside agencies and we are treated like every other Third World Country that could not manage its own fiscal policy.
Unless the President and Congress can get thier act together soon we will lose control over our own business and have to bow to whoever will give us a handout.
Debt
October 17, 2009 - 19:43 ET by jaywlMany of us have noted the coming shock when China or a consortium of lenders comes to the table with demands. I have no doubt our treasury leaders have already been warned in private, but if they get no response the result will be a very public decline to purchase our bonds. Huckaby and guests are talking about the climate change bill with its massive cost and how China and the rest are not going to subsidize our foolishness. I pray this country will wake up but I see the day when China might say "Remember, we had universal health care and you capitalists showed us we couldn't afford it and we had a primitive system. We gave up, became mostly capitalist. Now you want us to loan you money, FOREVER, so you can have an unaffordable universal system that will lower standards. Are you crazy?"
How many of you really believe our lenders will start saying "No More". I suspect the majority of you. Then---we will be in a world of S**t.
phantoms
October 17, 2009 - 22:38 ET by WesenIt's really 1.9 Trillion and total unemployment has reached almost 18%. I want to know what we promised the ChiComs for collateral. If you want speaks with tax cheat Timothy Geitner you can email him here:
timothy.geithner@do.treas.gov
Where is Shawn228?
October 18, 2009 - 08:29 ET by JWF...Obama’s deficit is much larger as a percentage of GDP than during the 1980s...
See that Shawn? As a percentage of GDP. That is how you do it.
Right here Mr Vet
October 18, 2009 - 08:44 ET by shawn228I thought you and I were talking about the national debt? Yes I agree Obama has been totally irresponsible with his spending.
"I think we're kindred spirits."~Mr Shy to Sergeant ROCK
"Whats wrong with a little sodomy between friends?"~Sergeant ROCK to Mr Shy.
Is there a problem with your noggin?
October 18, 2009 - 10:04 ET by JWFI was talking about numbers in the correct format. Nominal vs Real. And using perspective. I never argued the goodness or badness. Nor was I bringing it up here about Obama.
Perspective. Hence my pointing out the correct usage here - as a percentage of GDP. You are still missing it.
This is not about left vs. right. Or Republican vs Democrat. Some of us live in a world where not everything revolves around political ideology.
If there were an article stating that the number of people eating ice cream cones is at an all time high, would we break it down by political ideology? No, we would discuss the fact that the population is larger but as a percentage of the population at large, only 26% of the population enjoyed ice cream both in 1957 and 2009. But nominally, there is a larger number of ice cream eaters. Sheesh.
Focus.
Sincerely,
a Veteran of a 1000 psychic wars.
okay doky vet
October 18, 2009 - 10:08 ET by shawn228I told you I got the concept last we talked. You even did a summary about the liberal lie just for an exclamation mark remember? :-) I get it now, I believe I thanked you for the economics lesson.
"I think we're kindred spirits."~Mr Shy to Sergeant ROCK
"Whats wrong with a little sodomy between friends?"~Sergeant ROCK to Mr Shy.
Oh all right.
October 18, 2009 - 12:10 ET by JWFJust trying to show you I was not being persnickety. As a percentage of GDP is common usage.
Did not mean to ride you.
Sincerely,
a Veteran of a 1000 psychic wars.
Giving
October 18, 2009 - 09:44 ET by jessieHGiving money to the govt. is like giving a child money and telling the child not to buy toys or candy.
slow?
October 18, 2009 - 15:56 ET by Patriot IIYep......ol' katie jist ain't whut she usta be, ol age catching up? errr but was she ever? always been a mite narra between the eyes in my opinion, but she finally caught onto this one LOL
In Related News...
October 18, 2009 - 17:10 ET by Kimberly...pigs have been spotted overflying CBS News headquarters.
(More newsworthy than the balloon kid, anyway.)