The Miracle of the Trump Economy: $1.3T Deficit in 2020

Follow the Ameros!

Tiger Beat on the Potomac (thanks Charlie!) tells us:

The federal deficit under President Donald Trump will top $1 trillion this year, the Congressional Budget Office announced in its annual fiscal outlook on Tuesday.

The gap between the amount of money the federal government spends and how much revenue it brings in is expected to continue to widen, averaging $1.3 trillion every year for the next decade. While the current economy is strong, the independent budget agency said the nation will suffer unless Congress makes “significant changes to tax and spending policies.”

CBO Director Phillip Swagel said “changes in fiscal policy must be made to address the budget situation, because our debt is growing on an unsustainable path.”

Imma old enough to remember when the Republicans were (ALLEGEDLY!) the party of fiscal responsibility.

Anyway, watch this space. The GOP will once again lecture us on how unsustainable their tax cuts were, so therefore the poors must suffer. Look for proposals to cut the safety net, you know, for the good of the country. Eff’ers.

Somewhere, Paul Ryan (the zombie-eyed Granny-starver) has popped wood.

 

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14 Responses to The Miracle of the Trump Economy: $1.3T Deficit in 2020

  1. w3ski4me says:

    Another Cheetolini tantrum was just in the news where he proclaimed “he doesn’t care about the debt”. So to me, that makes all that talk of “cutting the safety net” plainly abject cruelty.
    Of course, now Donny boy will try to say he never said that, but it was written down for posterity in plain English.
    It’s bad enough that he is the vainest and most selfish of all, but he doesn’t have to be the cruelest. I hate to use the word loosely but he is Evil.
    w3ski

    Liked by 4 people

    • HE said , in fact ” I love debt! I’m the King of Debt!” (And it was clear even then that this meant Putin and the Russian Mob had him by the short and curlies)

      Liked by 2 people

    • Dennis Cole says:

      Just the other day, he was almost drowned out by the helicopters, (as usual,) when a reporter asked about the budget, and the looming deficits. He replied with something along the lines of, “We’ll deal with that, we have plans for that (meaning SS & Medicare,)……but nobody cares about the budget anyway!”

      Like

  2. We have universities and colleges in this country that offer accounting and economics degrees. BS, MS and PhD degrees. There is even a Nobel prize for Economics. How come these think tanks of higher thought, study, and intellect can’t seem to balance a checkbook? Example: If you have ten dollars and spend 20 you just dug a ten dollar hole. Stop digging. Save up until you have 20 dollars.

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    • This is actually a fallacy. Countries with sovereign currency (like the US) can just print $10 more dollars to cover the $20. And no it does not inevitably turn the US into ZImbabwe with wheelbarrows full of 2 Trillion dollar bills. It’s a HELL of a lot more complex than that.

      This is one of the fallacies that BOTH sides routinely push about “treating the US budget like a family around the dinner table”…it doesn’t actually work like that; and Keynes proved this nearly 80 years ago, and if we DID decide to do this kind of idiocy it would collapse the US economy in a week.

      Now this kind of bullshit is a wonderful ratchet for the Catfood Caucus to “rein in wasteful entitlements” aka roll the US back to the 19th century: “You’re old and can’t work anymore? tough, go starve to death!”

      Liked by 3 people

      • Live within your means. I have personally done that. It worked for me in real time and I am old now and not starving to death. I don’t gamble, I don’t drink, I don’t take helicopters in the fog to my 13 year old grand daughters basketball games, and I don’t pay for hellfire missiles to kill goat herders in Yemen. My life has not been a fallacy. I am not a millionaire and okay with that. Our current financial wizards have us at upwards of 738 billion dollar deficit in 2019 alone. My balanced check book doesn’t have a deficit and I still don’t have my Nobel prize for a balanced checkbook.

        Liked by 1 person

    • Also, to put that into terms a ‘family around the dinner table” can understand: “Stop digging, save up until you have 20 dollars” means:

      No home loans
      No car loans
      No credit cards
      No college loans

      Modern business would not run if they had to pay cash for everything and couldn’t rely on lines of credit.

      Because this is what Treasury Bills are: we’re printing the T-bills and people who buy the T-bills are loaning the money to us. (and as they did during the Great Recession: T-bill buyers were loaning us the money at a negative rate. THEY WERE PAYING US TO BORROW MONEY.)

      Paul Krugman was particularly shrill about this, because we could have come out of the things vastly better if all the Catfood Commision Austerity folks hadn’t had a lock on policy. If we’d gone out and did a repeat of the WPA from the 30’s we’d have put a shit-tone of money (that, remember, people were paying * us to borrow!) *into the hands of people who would spend it like the workers we would have paid to rebuild our infrastructure, they would have prospered, everyone they spent money on would have prospered, AND we’d have a rebuilt infrastructure , like a modernized resilient green electric grid THAT WOULD HAVE BENEFITTED EVERYONE.

      Instead we bailed out the banksters and now they just gave themselves a trillion dollar tax cut they’ll use to grind the rest of us into the dirt, while hoarding all the wealth.

      Guillotines are too nice. Hanging, drawn and quartered is more appropriate.

      Liked by 2 people

  3. Pingback: US Budget Deficit To Reach $1T In 2020 | personnelente

  4. R White says:

    cheeto jesus in 2017 famously opined “I won’t be here,” and we all know how the worthless beltway media will have forgotten/forgiven the vulgar fuck, but somehow blame whoever the democrat happens to be at the moment the economy finally crashes.

    Liked by 1 person

  5. “no home loans, no car debt, no credit cards, no college loans” is possible but difficult and involves lots of sacrifice. Lots of sacrifice. But It can be done. Also requires living beneath your means (especially after divorce!) for awhile. It also involves luck, not getting sick (insane medical bills), and living in a country that will invade and conquer other third world oil producing nations to keep black gold the real currency. You are right, it is complex, and beyond the simplicity of balancing the family checkbook.
    I agree with 90% of what your post states. What was offensive for me was the berating and scolding tone. The hostility wasn’t necessary.

    Like

  6. H-Bob says:

    CBO Director Phillip Swagel said “changes in fiscal policy must be made to address the budget situation, because our debt is growing on an unsustainable path.” [Translation — “Tasty Vittles are a good value for people who would have received Social Security !”]

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  7. Chris Papalia says:

    Trump’s federal deficit isn’t the immediate crisis; Trump’s bubble economy is: https://thebulwark.com/this-too-shall-crash/

    So we are lining up for another 2008-style crash. However, Trump’s deficits mean that, unlike in 2008, this time round there won’t be a federal bail-out because the federal government simply won’t have enough money to bail financial institutions out.

    It also means that, post stock market crash, so much of the federal budget will be devoted just to servicing debt, it will not just kill off any possibility of investment in essential infrastructure, but will pose a significant threat to US national security: https://www.brookings.edu/opinions/the-real-national-security-threat-americas-debt/

    Liked by 1 person

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