The day of reckoning looms: The federal government is liable for approximately $850 billion in student loans, and the number of borrowers defaulting on these loans is on the rise.
The day of reckoning looms: A new official report released yesterday predicts that Social Security will run out of money three years earlier than previously predicted.
The day of reckoning looms: The credit rating of the United States government has been downgraded again.
Modern doublethink: The Obama administration’s treasury secretary admitted Wednesday that the federal government’s debt is “unsustainable,” but then added that solving the problem shouldn’t be a top priority, because the government still needs to “do things.”
Geithner’s refusal to confront what he admits is a looming disaster illustrates for all to see the normal operating policies of this administration.
Another wise investment of the Obama administration: The world’s largest solar power project, recipient of the second largest ever Department of Energy loan guarantee, has filed for bankruptcy.
Update and correction: It turns out that the company was offered the DOE loan guarantee, but turned it down. Read this second article. The facts it describe make the decisions of the Obama administration seem beyond foolish.
Our government at work: The chief of the General Services Administration has resigned and two of her top deputies have been fired for organizing an excessively expensive training conference at a luxury hotel.
Organizers spent $835,000 on the event, which was attended by 300 employees. The expenses included $147,000 in airfare and lodging at the hotel for six planning trips by a team of organizers. Among the other expenses were $3,200 for a mind reader; $6,300 on commemorative coin set displayed in velvet boxes and $75,000 on a training exercise to build a bicycle. [emphasis mine]
They made six separate trips to this Las Vegas hotel in order to plan a four-day conference?
The sad part is that this kind of spending abuse is actually quite normal in the federal government. I’ve seen it at multiple science conferences and press conferences. Lots of free food, fancy digs at cool locations. And all paid for by the taxpayer.
The House today passed the Republican 2013 budget, 228-191.
Ten Republicans voted no. All Democrats voted no.
Though this budget might not be perfect, at least it makes an effort to face the budget situation. Note also that the Democrats have now rejected their own President’s budget as well as the Republican budget. In addition, the Democratic leadership in the Democratically-controlled Senate has already said they won’t pass a budget this year, the fourth year in a row.
The country is sinking in debt caused by the federal government. It behooves these elected officials to deal with it. That the Democrats won’t tells us much about their lack of qualifications for office.
Breaking news! The federal debt has increased more during Obama’s three years in office than it did during Bush’s eight year presidency.
Both Presidents spent uncontrollably. Obama has just been the most uncontrollable of all, at least up to now.
New budget estimates by the Congressional Budget Office say that the proposed 2013 Obama budget will increase the federal debt by $3.5 trillion.
The day of reckoning looms: The federal government recorded its worst monthly deficit in history in February 2012.
The [Congressional Budget Office] projected the government will run a deficit of $229 billion in February, the highest monthly figure ever. The previous high was $223 billion a year ago, in February 2011. It is the 41st straight month the government has run a deficit — itself a record streak that dates back to the final months of President George W. Bush’s tenure. Before now, the longest streak on record was 11 months.
Obviously, this record-setting deficit is racist for occurring during the term of Barack Obama.
The White House chart that illustrates the irresponsible nature of Obama’s proposed budget.
Yes, that’s right, the chart is from the White House itself, which means they themselves know how useless their proposed budget is, and how little they care. More here, including video of a truly entertaining but clarifying exchange between Congressman Paul Ryan and Treasury Secretary Tim Geithner.
From Obama’s own Treasury Secretary, describing Obama’s own budget proposal:
Even if Congress were to enact this budget we would still be left with – in the outer decades as millions of Americans retire – what are still unsustainable commitments in Medicare and Medicaid.
The day of reckoning looms.
California: Running out of other people’s money.
The bigger picture: The White House has confirmed that the Obama 2013 budget proposal to be announced on Monday will predict a $1.3 trillion deficit in 2012, and only try to shrink that to $900 billion in 2013.
Numbers like this demonstrate the need for further budget cuts, even in areas that I think are important, such as space exploration. However, these numbers also illustrate one clear fact: the Obama administration is not serious about balancing the budget. That the administration has applied the knife to the Mars planetary program while allowing other less successful NASA programs to flourish proves this administration’s poor sense of priorities in these difficult financial times.
More thoughts next week.
The day of reckoning looms: “We only have two or three years before we get into a very ugly debt-crisis austerity mode.”
Six charts from the Congressional Budget Office that will scare the bejeebers out of you.
