shocker of the day
Bush budget to set record deficit
A congressional agency on Wednesday raised its federal deficit estimates by tens of billions of dollars, but President Bush is planning for an even deeper hole — one that could break the record. Overshadowed by the president’s State of the Union speech was a notice issued by Bush’s budget director that the Bush budget, to be unveiled on Monday, will project deficits of around $300 billion in 2003 and 2004. The record is $290 billion set in 1992, when Bush’s father was president.
But the figures by the nonpartisan agency almost certainly understate the shortfalls. Since CBO by statute must only count taxes and spending enacted into law, its estimates omit the costs of Bush’s proposed $674 billion, 10-year economic growth package, possible war with Iraq and billions in spending increases that Congress is likely to approve.
(continued in the next post)