HUFFINGTON POST:President Barack Obama is asking Congress for a short-term deficit reduction package of spending cuts and tax revenue that will delay the effective date of steeper automatic cuts now scheduled to kick in on March 1. Obama said the looming cuts would be economically damaging and must be avoided…
Tuesday’s Congressional Budget Office report predicted the deficit would dip to $430 billion by 2015, the lowest since the government posted a $459 billion deficit is former President George W. Bush’s last year in office.
That would be a relatively low 2.4 percent when measured against the size of the economy. But deficits would move higher after that and again reach near $1 trillion in the latter portion of the 10-year window – despite the recently enacted tax increase on family income exceeding $450,000 and automatic spending cuts of about $100 billion a year. The package of spending cuts and tax increases are punishment for Washington’s failure to strike a long-term budget pact… (more)
