Skip to main content

View Diary: President Obama's Opening Move: Raise $1.6 Trillion In New Tax Revenue From The Wealthy (222 comments)

Comment Preferences

  •  The deficit is not at 1.4 trillion, it is at (1+ / 0-)
    Recommended by:
    TomP

    1 trillion.

    And it is projected that, due to economic growth, it is already going to shrink to 800 billion next year.  Subtract 160 billion from that and you're at 640 billion, which is getting close to the sustainable deficit level of 3% of GDP.  Add another 3 years of economic growth and the deficit is gone.

    "A candle loses nothing by lighting another candle" - Mohammed Nabbous, R.I.P.

    by Lawrence on Wed Nov 14, 2012 at 01:35:55 AM PST

    [ Parent ]

    •  Thanks for the correction (1+ / 0-)
      Recommended by:
      Lawrence

      I was using the 2009 number. I still submit, however, that deficit reduction without some other future time-bomb issue like rising private debt is going to be difficult.

      I mean, even if the described scenario plays out, we're still going to be at well over 100% debt/GDP. Not good.

      (-5.50,-6.67): Left Libertarian
      Leadership doesn't mean taking a straw poll and then just throwing up your hands. -Jyrinx

      by Sparhawk on Wed Nov 14, 2012 at 09:33:37 AM PST

      [ Parent ]

      •  With a growing economy and a balanced budget, (0+ / 0-)

        that debt will, however, start shrinking relative to the GDP.

        Even if the deficit is at one to two percent of the GDP, it should shrink.

        Inflation ia a debt-killer in the long run, after all, and a growing economy means the GDP grows.

        "A candle loses nothing by lighting another candle" - Mohammed Nabbous, R.I.P.

        by Lawrence on Wed Nov 14, 2012 at 09:44:25 AM PST

        [ Parent ]

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site