Hooray! Budget Deal Would Cut Deficit To $1.606 T — A deal was approved in Washington last night averting a shutdown of the federal government and cutting $38.5 billion in federal spending through Sept. 30, which is the end of the federal fiscal year.
Great job and all but how is this comparatively miniscule amount of savings going to make much difference with the federal deficit that was projected in February to be $1.645 trillion at year’s end. Should we start cheering now that the deficit will $1.606 trillion?
OK, it might be a little less than that since, according to Congressman Pat Meehan, the continuing resolutions cut about $10 billion in spending but the point stands.
The debt by the way remains schedule to close near $15 trillion at year’s end which is 100 percent of our GDP. Would you make a loan to someone whose entire annual income was owed to someone else?
Don’t blame John Boehner and the Republicans for this lack of action. It’s clear the GOP congressmen recognize the crisis and they did the best they could considering the willingness by Harry Reid and the Senate Democrats to hold military personnel in harm’s way hostage for even the smallest concessions.