The spending increases are so massive that it doubles the national debt in only 5 1/2 years and triples it in 10 years. The government can probably not even sell that much debt. We’ve already seen this scenario play out in the UK and Germany, where issuances of their national debt failed to attract enough buyers. If the President wanted to balance his budget, he would need to increase every federal tax on every American by at least 30%. That means an increase on your payroll taxes, gas taxes, income taxes, alternative minimum taxes, corporate tax, capital gains tax, cigarette tax, excise taxes, etc by 30% each. This is in addition to what he has already proposed.
Saturday, April 4, 2009
Maybe The IRS Is Hiring
Though I don't always agree with him, I never miss the weekly e-newsletter from Rep. John Campbell (R-Newport Beach). Here's his math on the federal budget that passed the House and Senate this week without a single GOP vote, en route to an appropriations process that will be considerably more rancorous. Italic and boldface type in the original: