Obama: 3 Year freeze on discretionary spending

[bamacre]

Yes, it's hilarious. You have a point, since Republicans slashed the deficit to alll-time lows for 12 years with Reagan on, and then Bill Clinton shot it up every year for 8, and then George W cut it back low again.

Now you know damn well I said nothing about the Republican spending habits. ()

 

[lothar]

Why must it only be a 3 year freeze?

Unless this cuts military spending and entitlements, this is all a dog and pony show.

 

[Bitek]

Fairly lame, but at least its something.


The budget is never going to be cut bc the public is not serious enough to tackle the hard issues with any sense of maturity or responsibility.

I for one welcome the GOP winning back a few seats as they will finally have skin in the game and be responsible for govt decisions.

Case in point:

Teabaggers screaming to cut the budget; Obama proposes cuts to the useless ass F-22 program; GOP screaming that Obama is endangering the nation and isn't serious about security.

For years GOP screams about entitlements; Obama HC plan cuts expensive Medicare Advantage payments to the private sector; GOP screams about it and wants to pass a Medicare bill of rights to prohibit any cuts.

All thru Bushes and Reagan we hear tax cuts returns the people's money from greedy Washington, and it helps the economy bc people spend their money better than politicians. Obama passes taxcuts; GOPers like Ozoned proclaim them as "spending" programs. Right.

I know it works the other way w/ Dems and SS too.

Its all bullshit. We are going to sink the ship bc we can't rise above the intellectual level of 3yos.
At least we can boot Lieberman out, let Landreu, Nelson and the other greedy sell-outs lose and let some GOPers jump on board while bow is still above water. Have fun w. the deck chairs boys.

 

[Zebo]

Obama is a disaster, it's official to my mind like it was with Bush when he started talking Iraq days after 911. So, as Main Street is in worse trouble than ever, consumers have pulled back or are simply broke, and Investors don't invest and create jobs when none has money to spend - Obama is going to freeze the spender of last resort. Smart.

 

[rudder]

Way to go Obama!!!!!!

yep freezing the budget at a $1.4trillion deficit.

 

[sandorski]

It's a start.

Yup

 

[SparkyJJO]

So everyone here wants to shrink our military eh? You know what cutting spending there would do - cut the wages of the very guys who keep you and me safe.

Now the military needs trimming, certainly. Because, like any good government-run operation, there is gobs of money wasted and "lost" constantly. But that needs to be done with care, and by people who know what their doing, not some armchair generals and politicians who just swing the axe randomly at the military.

Don't want to cut the wrong stuff.

 

[bob4432]

I'm all for reductions to military spending. At least we can Republicans not to politicize that with attacks of 'weak on defense the bad guys will conquer us'.

uh, that kind of goes w/out saying w/ you craig...:\

 

[Craig234]

Obama is a disaster, it's official to my mind like it was with Bush when he started talking Iraq days after 911. So, as Main Street is in worse trouble than ever, consumers have pulled back or are simply broke, and Investors don't invest and create jobs when none has money to spend - Obama is going to freeze the spender of last resort. Smart.

I understand that concern, as I referred to the Keynesion need to spend in my post, but we're not just in Keynesian normal defictis we're in emergency high deficits, and this still leaves room for shifts to stimulus.

There's also a political element - if he's not re-elected he can't prevent the next disaster presdient.

As a smaller issue, the interest on the debt is taking money out of better uses as well.

 

[Craig234]

uh, that kind of goes w/out saying w/ you craig...:\

Well, there are limits - I support a legitimate level of defense spending, we're just way above that. But try to cut too low, as if that'll happen, and I'll argue for more.

We're not in the cold war any more when the needs were different.

See Eisenhower's 'cross of iron' speech for the idea.

 

[CPA]

How about lay off an appropriate amount of federal employees so that their unemployment rate matches that of the private sector?

How about cancel the tarp program and cancel that debt to the tune of the amount left?

How about cancel the remainder of the unspent economic stimulus money since it isn't stimulating anything.

How about, on the same day that you announce a freeze on certain types discretionary spending, THAT YOU NOT ANNOUNCE TAX CUTS IN THE FORM OF CHILD CARE TAX CREDITS AND OTHER NEW SPENDING MEASURES.

This guy is desperate. He is throwing shit in the air to see if he can find something that will catch the political winds,,, in his favor.

This!

 

[Genx87]

Yup

It is a diversion. Wait about a week and we will find out what new spending program will eclipse this minute spending cut.

 

[Zebo]

I understand that concern, as I referred to the Keynesion need to spend in my post, but we're not just in Keynesian normal defictis we're in emergency high deficits, and this still leaves room for shifts to stimulus.

There's also a political element - if he's not re-elected he can't prevent the next disaster presdient.

As a smaller issue, the interest on the debt is taking money out of better uses as well.

Funny Craig, he's not having this rightward shift when FED took over freddie and fannie of x-mas eve, or he multitude of bank bailouts, or the .mil, etc etc etc. Bottom line is common people need cash not those at the top who have it all already, he's just making a bad situation worse. Wait and see. But of couse this is exactly what 'they' want! Take the country into a nosedive so they can destroy every New Deal program in existance, masked as "fiscal restraint." It's been their focus for decades and we are seeing it right before out eyes, at least the precursors.. Need I mention taxes?

 

[charrison]

How predictable. Once again Democrats are the ones leading the way on 'fiscal responsibility' and they get pooh-poohed by the supported of the party of say one thing do another fiscal irresponsibility.

Yeah right. Everytime a republican has suggested freezing or even reducing the increase in spending on a program the democrats call it a cut in spending. A step in the right direction, but it is only 17% of the budget, entitlements is the elephant int he room that is being ignored.

 

[charrison]

Obama on spending freezes.

http://www.breitbart.tv/flashback-obama-ridicules-mccains-call-for-spending-freeze/

 

[Zebo]

Yeah right. Everytime a republican has suggested freezing or even reducing the increase in spending on a program the democrats call it a cut in spending. A step in the right direction, but it is only 17% of the budget, entitlements is the elephant int he room that is being ignored.

I figure taxing the billionaires who pay less percentage than a plumber are the elephant in the room.

(talking mainly those hedge fund managers who pay 15% and no employment taxes or Corp officers who pay themselves a token salary then take thier real money out at 15% taxed options)

 

[charrison]

I figure taxing the billionaires who pay less percentage than a plumber are the elephant in the room.

(talking mainly those hedge fund managers who pay 15% and no employment taxes or Corp officers who pay themselves a token salary then take thier real money out at 15% taxed options)

At the same time, those billionaires are paying significant chunks of taxes to the fed. How about this, lets set the tax rate so we can extract as much as we can from these guys. And currently it appears a 15% cap gains tax collects more than a higher capital gains tax.

Money in motion gets taxes, money in tax shelters stays untaxed.

 

[ProfJohn]

I figure taxing the billionaires who pay less percentage than a plumber are the elephant in the room.

(talking mainly those hedge fund managers who pay 15% and no employment taxes or Corp officers who pay themselves a token salary then take thier real money out at 15% taxed options)

Any idea of how much money we would raise if we taxed these guys at a 40% rate for all of their income???

The top 25 hedge fund managers made $11.6 billion in 2008. Even at 40% that amounts to only $4.6 billion in additional taxes.

So instead of having a $1.5 trillion deficit we would only have a $1.495 trillion deficit.... wooohoo on the way to balanced budget now

 

[Zebo]

Any idea of how much money we would raise if we taxed these guys at a 40% rate for all of their income???

The top 25 hedge fund managers made $11.6 billion in 2008. Even at 40% that amounts to only $4.6 billion in additional taxes.

So instead of having a $1.5 trillion deficit we would only have a $1.495 trillion deficit.... wooohoo on the way to balanced budget now

Dude it's not just them. It's millions of corporate officers deferring earned income for cap gains. I should know I pay myself $24,500 a year (optimum SS matrix) and take everything else out as gains or unearned income. Totally legal and patently unfair IMO but hey the law is what it is.

 

[Genx87]

Dude it's not just them. It's millions of corporate officers deferring earned income for cap gains. I should know I pay myself $24,500 a year (optimum SS matrix) and take everything else out as gains. Totally legal and patently unfair IMO but hey the law is what it is.

Capital gains is a problem. The other is you raise it too much and avg joe gets hurt while the rich shelter the money or put it offshore. The Wall Street journal had an article about 15 years ago that studied tax rates in this country. The bottom line is no matter the tax rate we seem to capture about 20% of GDP in taxes. As a govt this is where we should be working towards for spending. Anything over will be deficit, anything under will be surplus.

 

[palehorse]

it's a good start... a really really small one... but, it's a start.

On another note, who the hell suggests military cuts while a country is at war on multiple fronts all over the world?!

 

[Zebo]

Capital gains is a problem. The other is you raise it too much and avg joe gets hurt while the rich shelter the money or put it offshore. The Wall Street journal had an article about 15 years ago that studied tax rates in this country. The bottom line is no matter the tax rate we seem to capture about 20% of GDP in taxes. As a govt this is where we should be working towards for spending. Anything over will be deficit, anything under will be surplus.

Govt spending is half of GDP http://www.usgovernmentspending.com/

They get a hell of a lot more than 20%..I'm not sure how it amalgamates though.

 

[Farang]

The wars need to end, period. A monkey with a calculator could figure that out.

And I mean in defeat, if necessary (and as likely). We have no strategic interest in Afghanistan that is worth the amount we're spending there. The notion we do is built on a stack of faulty premises, from the drug war to terrorism to the domino theory revisted in Pakistan.

 

[Zebo]

it's a good start... a really really small one... but, it's a start.

On another note, who the hell suggests military cuts while a country is at war on multiple fronts all over the world?!

It's cheap to kill people. Try pushing the red button. . mil is a welfare program these days. You know it too. (ever prego women in service posts)

 

[palehorse]

It's cheap to kill people. Try pushing the red button. . mil is a welfare program these days. You know it too. (ever prego women in service posts)

You think warfare is cheap?! ummm, no. It's disturbingly expensive. Hell, just moving troops from point A to B in a combat zone is expensive as all hell; not to mention feeding them, equipping them, arming them, and training them. (Also, please don't forget that "arming and equipping" involves everything from simple uniforms and M4's to aircraft carriers, satellites, and high-tech bombers).

And no, the military is not a fucking "welfare" program. The difference? We actually work for all of our "handouts," thanks.

Seriously, who the fuck threatens to cut military spending in a time of war? That's just sick... "Support the Troops" my ass!