The Audacity of Debt
Last week, President Obama delivered a $3.6 trillion budget to Congress. He says the budget is aimed at expanding government activism, increasing taxes on affluent families and businesses, and ending what he calls, "an era of profound irresponsibility."
This new era of responsibility comes complete with the biggest budget deficit since World War II. According to the president's own estimates, his budget calls for a $1.75 trillion deficit for the 2009 fiscal year. That is the highest one-year deficit ever in dollar terms, and amounts to a 12.3% share of the economy.
According to the budget's own projections, in 2010 the deficit would dip slightly, but we are still staring at a $1.17 trillion deficit.The proposal for fiscal year 2010 was described by The Wall Street Journal as, "one of the most ambitious policy prescriptions in decades." It calls for a reordering of the federal government's priorities to provide national health care, to take a bigger role in our education system, and to essentially shift the energy economy away from oil and gas and into alternative energy sources