Spending, Taxes, Deficit: Lower Now Than Inauguration Day
The facts, as laid out by Think Progress:
In January 2009, before President Obama had even taken the oath of office, annual spending was set to total 24.9 percent of gross domestic product. Total spending this year, fiscal year 2012, is expected to top out at 23.4 percent of GDP.
Here’s another interesting fact. Taxes today are lower than they were on inauguration day 2009. Back in January 2009, the CBO projected that total federal tax revenue that year would amount to 16.5 percent of GDP. This year? 15.8 percent.
One last nugget. The deficit this year is going to be lower than what it was on the day President Obama took office. Back then, the CBO said the 2009 deficit would be 8.3 percent of GDP. This year’s deficit is expected to come in at 7.6 percent.
Reality, as we all know, has a liberal bias.
Unless I’m mistaken, a decline in federal tax revenue does not necessarily mean taxes have gone down. It just means that the government is collecting less, which could be caused by a number of factors, including the continuing effects of the recession and unemployment and therefore fewer people having to pay federal taxes or making less and qualifying for a smaller marginal tax rate.
To look at it from the other side, once the effects of continued job growth (26-straight months of adding jobs, right?) lead to more people paying federal taxes, the amount of revenue will increase and Republicans will claim that Obama actually raised taxes, when they’ve actually stayed relatively consistent since 2003, and more people are just able to pay them.
I would argue that growing tax revenue would be more indicative of a healthy economy, but recovery takes time and it could be several years before we see results.
Facts don’t mean squat in the post citizens united world.
“debt” is a word that has changed meanings over the years. It now means, “Spending that Republicans don’t like.”
Pat, my taxes went down when Obama’s tax cuts were passed. So, first hand, I can affirm Obama lowered taxes.