Threatening to go rogue in defiance of Congress in 2014, U.S. President Barack Obama today promised to take matters into his own hands during a 2.5 minute-long weekly address in which he referenced a “broken immigration system.”
Regarding reduced deficits he also made a bold claim that “since i took office we’ve cut our deficits by more than half,” but failed to mention the criteria used to make that claim – that criteria being the deficit as a percentage of GDP. The actual deficit, which is the hard-dollar difference between what the federal government spends (outlays) and what it takes in (revenue or receipts), is currently at this precise moment $17,270,240,354,364.86 according to Debt to the Penny. At this same exact time in 2009 that deficit was $10,628,881,485,510.23. In 5 years the Obama administration has added $6.6 trillion dollars to the deficit – an average of $1.1 trillion dollars annually.
The following chart shows the administration’s logic as it was embedded in a tweet issued by the White House:
Now take a look at this graphic issued by the CBO …. notice that the last few bars are simply the above graph which has been turned upside down to enhance the illusion:
It’s the growth of the deficit which has slowed by 50% compared to the first year that Barack Obama was president – a single year in which the deficit as a percentage of GDP rose by more than 50%. And sadly – when compared to all previous years in the same graph – 2013 still represented 25% more deficit spending than in 2008 and all the previous years of the Bush administration.
I’ll spare you the monthly and weekly breakdowns – but it’s nothing to be bragging about. The deficit as well as our national public debt is still growing, albeit at a slower rate, on a daily basis and as long as that number continues to expand as opposed to shrink – regardless of what rate it expands – our federal government is spending more than it’s collecting and that’s inexcusable considering their methods and rates of taxation.
You can rest assured that no matter how the numbers are cooked or the terminology spun into feel good sound bites – we’re sinking further into debt.
Transcript(bold emphasis mine):
PRESIDENT OBAMA: Hi, everybody. This week, I visited a company in Raleigh, North Carolina that helps make electric motors that save businesses money on energy costs and cut harmful carbon pollution.
And I stopped by N.C. State University, where engineers are set to develop the new technology that will make those motors even better.
It’s part of my push not only to make America home to more high-tech manufacturing – but to make America more attractive for the good jobs that a growing middle class requires.
And increasingly, we are. Thanks in part to our all-of-the-above strategy for American energy, for the first time in nearly two decades, we produce more oil here at home than we buy from the rest of the world. We generate more renewable energy than ever, and more natural gas than anybody. Health care costs are growing at their slowest rate in 50 years – due in part to the Affordable Care Act. And since I took office, we’ve cut our deficits by more than half.
So we are primed to bring back more of the good jobs claimed by the recession, and lost to overseas competition in recent decades. But that requires a year of action. And I want to work with Congress this year on proven ways to create jobs, like building infrastructure and fixing our broken immigration system.
Where Congress isn’t acting, I’ll act on my own to put opportunity within reach for anyone who’s willing to work for it. That’s what I did in Raleigh by launching America’s second “manufacturing innovation institute.” It’s a partnership between companies, colleges, and the federal government focused on making sure American businesses and American workers win the race for high-tech manufacturing and the jobs that come with it – jobs that can help people and communities willing to work hard punch their ticket into the middle class.
I firmly believe that this can be a breakthrough year for America. But to make that happen, we’re gonna have to act – to create good jobs that pay good wages, and to offer more Americans a fair shot to get ahead. That’s what I’m focused on every day that I have the privilege of serving as your president. That’s what I’m going to be focused on every single day of this year.
Thanks, and have a great weekend.
The following tweet and bar graph was released by the White House:
— The White House (@WhiteHouse) January 18, 2014
FactCheck.org has this article titled “Obama’s Numbers” on it’s homepage but when clicked the link results in a 404 error. Judging from the excerpt it may not be totally awesome financial news – especially for working class Americans.