eroakirkosta.fi

Tuesday, July 11, 2006

The "American Machine" at work

Good news from the American economy:

"Additional revenue generated from groups that pay their taxes quarterly — primarily corporations, small businesses and the wealthy — dropped the projected federal deficit for the 2006 budget year to $296 billion, a $127 billion decrease from a February estimate, Bush said.

The president said his pro-growth policies, including tax cuts passed in 2001 and 2003 and a limit on additional discretionary spending, had enabled the economy to improve tax revenues to the point that his 2004 pledge to cut the deficit in half — to $260 billion by 2009 — will be reached one year early.

Though numerically the budget deficit is among the highest recorded, as a measure of gross domestic product, 2.3 percent, it ranks lower than the deficits in 17 of the past 25 years.

Bush said the short-term deficit has been a challenge, but the real threat of overspending comes from unsustainable growth for entitlement programs — Social Security, Medicare and Medicaid
"


It's just too bad Bush lost some of his spirit to fight for the privatization of Social Security.

-FoxNews

Labels:

5 Comments:

Blogger Giustino said...

Bush was forecasting a surplus by this time. Why do we still have a defecit?

July 13, 2006 4:47 PM  
Blogger Giustino said...

And you're quoting FOX. They are the president's PR network!

July 13, 2006 4:53 PM  
Blogger Mikko Sandt said...

"And you're quoting FOX. They are the president's PR network!"

Plz...

July 16, 2006 12:05 AM  
Anonymous Petteri said...

It's either what you're saying or it's what some others are saying. Classic he says she says. All I know is that, the Americans are the most indebted people in the world with the negative savings accounts. Also, what I've heard, they owe gazillions for foreign countries, especially China, and if and when those loans are called it could create more than just a hick-up.

I am not an economist and certainly don't posses that great of a knowledge in the American affairs but, seems to me that by doing creative book keeping any given point can be backed by any set of numbers. Hopefully you are right and the other guys wrong because American economic melt-down, with this interdependence, would create world wide depression.

July 20, 2006 6:43 AM  
Blogger Mikko Sandt said...

"the Americans are the most indebted people in the world with the negative savings accounts."

Doesn't really matter for as long as they're able to pay it back.

"Also, what I've heard, they owe gazillions for foreign countries,"

You mean the public debt? It's not very high as a percentage of the GDP. Many European nations (France, Italy, Germany etc.) have more debt than the US.

July 20, 2006 4:42 PM  

Post a Comment

Links to this post:

Create a Link

<< Home