From the AP
WASHINGTON – President Barack Obama is sending Congress a "hard choices" budget that would boost taxes on the wealthy and curtail Medicare payments to insurance companies and hospitals to make way for a $634 billion down payment on universal health care.
Obama's first budget, which will top $3 trillion, predicts the deficit for this year will soar to a whopping $1.75 trillion, according to administration officials who spoke on condition of anonymity before the public unveiling of the budget Thursday. The huge deficit reflects the massive spending being undertaken to battle a severe recession and the worst financial crisis in seven decades.
As part of the effort to end the financial crisis, the administration will propose boosting the deficit by an additional $250 billion this year, enough to support as much as $750 billion in increased spending under the government's financial rescue program. That would more than double the $700 billion bailout effort passed by Congress last October.
How many bailouts does this make now? Whiskey Tango Foxtrot is going on here? At least 2 trillion dollars have gone to the banks that screwed things up in the first place. They get rewarded for this junk. It also sounds as this new bailout is just a placeholder for yet another bailout.
There's also tax increases
The $634 billion down payment on expanding health care coverage would come from a $318 billion increase over 10 years in taxes on the wealthy, defined as couples making more than $250,000 per year and individuals making more than $200,000. The tax increase would occur by reducing the benefit the wealthy get on tax deductions. As one example, taxpayers in the current top tax bracket of 35 percent would see their tax deduction for every $1 given to charity drop from 35 cents to 28 cents.
The other half of the down payment on Obama's drive toward universal health care — $318 billion — would come from curtailing payments to hospitals and insurance companies under Medicare and drug payments under Medicaid.
The first one sucks, the second gets my guard up even more. I need more information to analyze what is meant by "curtailing payments," but I don't trust it, that's for sure.
The cost of the stimulus bill and the increased bailout support would push the deficit for this year to $1.75 trillion, nearly four times last year's record $455 billion and a percentage of the economy — just over 12 percent — not seen since World War II. The deficit is expected to remain around $1 trillion for the next two years before starting to decline to $533 billion in 2013, according to budget projections.
I think we all agree that Bush was not a fiscally responsible president. Obama exceeds Bush's fiscal mismanagement in spades. A 1/2 trillion dollar deficit is ridiciulous. $1.75 trillion is insane - and that is in addition to the "govenmental stimulation" package that was passed, along with the bailouts that the tag team of Bush and Obama both gave to us.
Then there is this:
The plan also contains a contentious proposal to raise hundreds of billions of dollars by auctioning off permits to exceed carbon emissions caps, which Obama wants to impose on users of fossil fuels to address global warming.
Are you f'ing kidding me? After this winter, we can use some global warming.
The last Bush budget sucked. This budget goes beyond sucking. It sucks on the level of former Lions GM Matt Millen. We have a tax increase for another bailout. Insanity is doing the same thing over and over again and expected different results. The first bailout did not work. The newest bailout will not work and have the same effect as the old one. The tax increase irks me, but the bailout is what angers me the most.
However, saying "No" is not enough. There needs to be a counter budget that needs to be proposed and marketed. With the current membership in the screwed up organization known as Congress, it won't pass. However, it needs to be pushed into the minds of the public. The conservative wing of the GOP (Hensarling, Pence) need to go out and propose a balanced budget like they did in 2006. Unlike 2006, the GOP needs to embrace that budget and push that for a vote. If Pelosi fails (as she probably will) to allow a vote, run on that.
We're going from the bad to the worse, and it's time for this to be stopped.