To: Tenchusatsu who wrote (402755 ) 7/30/2008 9:42:56 AM From: Road Walker Respond to of 1576881 Deficit nears a half trillion Wed Jul 30, 12:20 AM ET news.yahoo.com The White House's ominous new budget deficit forecast — almost a half trillion dollars next year, a new record — is a fresh reminder that while any one year's deficit might not be a disaster, bleeding red ink year after year is a serious problem. It limits the nation's ability to address critical problems such as energy independence, the housing crisis or health care, and increasingly, it threatens everyone with rising inflation and high interest rates as other nations drive down the dollar because of U.S. fiscal irresponsibility. The deficits this year and next are exaggerated by the costs of stimulating the economy and coping with a slowdown in tax revenues. But that's no excuse for the red ink that has marred the budget since President Bush took office in 2001 after four years of surpluses. The president let spending balloon, pushed taxes down and borrowed the difference, year after year. Then he hid some of the damage. The deficit number doesn't even include all spending for wars in Iraq and Afghanistan. This is obscure and almost invisible to most Americans, but the costs are very real. The national debt has almost doubled since Bush took office, from about $3.3 trillion in 2001 to nearly $6 trillion now. American taxpayers pay roughly $250 billion a year in interest to investors that include the Chinese and other foreign governments. You'd think the two presidential candidates vying to succeed Bush would be focusing hard on cleaning up this mess, but you'd be wrong. Republican John McCain, who used to be a speaker of truth on this subject, has promised to balance the budget by 2013, but his plan is a widely seen as a sham. He vows to keep all Bush's tax cuts, slash taxes for businesses and make up the difference by cutting back on spending such as congressional earmarks. Extending tax cuts could cost hundreds of billions a year. Earmarks cost about $15 billion to $20 billion a year. As for Democrat Barack Obama, budget balancing is nowhere on his agenda. He promises to save money by ending the war in Iraq and repealing some of Bush's tax cuts for upper-income taxpayers, but he would also extend new tax cuts to others and lavish dollars on expensive domestic initiatives such as universal health care. Both candidates criticize Bush for wrecking the budget, but it's hard to see how their bottom lines would be much different — or worse, since the next president will preside while Baby Boomers increasingly strain Social Security and qualify for Medicare. It's too late for Bush to redeem his record. It's not too late for the men who want to succeed him to come up with believable plans for fixing the mess they'll inherit.