Fact Check: Has the Federal Budget Deficit Doubled in One Year Under Biden?
A New Report Reveals a Staggering Increase in the Federal Deficit
A recent report has shown that the federal deficit has skyrocketed over the past year, but the extent of this increase depends on how the numbers are crunched.
When CNN delved into the math, it started with a fiscal 2023 budget deficit of $1.7 trillion, based on figures from the Treasury Department for the fiscal year that ended on September 30.
However, this figure relies on some intriguing deficit calculations.
The Treasury Department listed the official fiscal 2022 deficit as $1.4 trillion, including the impact of the student loan forgiveness program that was rejected by the U.S. Supreme Court.
Without factoring in the student loan forgiveness program, the deficit for 2022 was approximately $1 trillion, according to CNN.
The Treasury then took the $400 million from the student loans that were never canceled and applied it to 2023, resulting in a decrease in the 2023 deficit to $1.7 trillion. As a result, the annual budget deficit doubled from around $1 trillion to about $2.1 trillion.
The deficit explodes to 1.7 trillion higher then projected. Bidenomics is crushing our economy, the working class, private business and destroying the American dollar! Every thing the man touches turns to ! https://t.co/aVHpCzAbhh
— Brooklyn (@FlorabamaB) October 21, 2023
Maya MacGuineas, president of the Committee for a Responsible Federal Budget, stated, “We are a nation addicted to debt. With the economy growing and unemployment near record lows, this was the time to instill fiscal responsibility and reduce our deficits.”
The nation’s substantial debt burden will become even more expensive in the coming years as interest payments rise, according to a report from the Treasury Department.
Michael Peterson, CEO of the Peter G. Peterson Foundation, emphasized that debt is consuming a significant portion of tax revenue.
“Interest costs rose almost 40 percent last year, and soon we’ll spend more on interest than we do on national defense,” he said.
Our budget deficit is $1.7 TRILLION.
Congress must stop its reckless spending sprees, address unauthorized federal programs, and cut down on massive waste, fraud, and abuse if we are ever going to save this country from eventual default. https://t.co/7cFa4XNvyn
— Rep. Ken Buck (@RepKenBuck) October 16, 2023
Bernard Yaros, lead U.S. economist for Oxford Economics, pointed out that the deficit was indirectly affected by inflation through an 8.7 percent cost of living adjustment for Social Security recipients. He also noted that entitlements account for a quarter of all spending.
The 2023 deficit pushed the national debt over $33 trillion, as reported by The New York Times.
The Congressional Budget Office predicts that by 2053, federal government debt held by the public will reach 177 percent of the gross domestic product.
“I believe we’ve reached a defining moment — our fiscal affairs are completely off track,” said Kent Conrad, a senior fellow at the Bipartisan Policy Center. “Rising deficits and debt are an economic and a national security concern.”
Don’t see many mainstream headlines on it but …
National debt just hit $100,000 per person & budget deficit has basically *doubled* in a year. It’s now a stunning $2 trillion dollars.
Because interest rates are also rising, we could soon be paying one TRILLION per year in…
— Brian Sullivan (@SullyCNBC) October 20, 2023
Republican Rep. Jodey Arrington of Texas, chair of the House Budget Committee, stressed that something needs to change.
“It’s the mandatory spending and the entitlement programs that are really driving the debt, and if we don’t address them, we’ll truly bankrupt this country,” he warned.
The post Fact Check: Did the Federal Budget Deficit Double in Just One Year Under Biden? appeared first on The Western Journal.
What steps can be taken to mitigate the long-term consequences of the current fiscal trajectory, such as the projected increase in federal government debt by 2053?
Yle=”font-weight: 400″>As you know, we are living in unprecedented times. Our country is facing immense challenges, and the recent report revealing a staggering increase in the federal deficit is a cause for concern. The numbers are alarming, and they demand our attention.
According to the report, the federal deficit has skyrocketed over the past year. However, the extent of this increase depends on how the numbers are calculated. CNN’s analysis shows that the fiscal 2023 budget deficit stands at $1.7 trillion, based on figures from the Treasury Department for the fiscal year that ended on September 30.
It is essential to note that this figure includes the impact of the student loan forgiveness program, which was rejected by the U.S. Supreme Court. Without factoring in the student loan forgiveness program, the deficit for 2022 was approximately $1 trillion. The Treasury Department then took the $400 million from the student loans that were never canceled and applied it to 2023, resulting in a decrease in the 2023 deficit to $1.7 trillion. As a result, the annual budget deficit doubled from around $1 trillion to about $2.1 trillion.
These numbers have sparked a fierce debate about the state of our economy and the impact of our current policies. Critics argue that the Biden administration’s economic agenda, often referred to as Bidenomics, is crushing our economy, the working class, private businesses, and destroying the American dollar. They argue that the deficit explosion is clear evidence of the need for fiscal responsibility and a reduction in our deficits.
Leading economists and experts also express their concerns regarding the nation’s debt burden. With interest payments rising, the substantial debt will become even more expensive in the coming years. Michael Peterson, CEO of the Peter G. Peterson Foundation, highlights that interest costs rose almost 40 percent last year, and soon we’ll spend more on interest than we do on national defense. These alarming figures underscore the need for swift action to address the growing debt.
The report also sheds light on the long-term consequences of our current fiscal trajectory. The Congressional Budget Office predicts that by 2053, federal government debt held by the public will reach 177 percent of the gross domestic product. This projection is deeply concerning and demands immediate attention from policymakers.
While there are differing opinions on the causes and solutions to this issue, one thing remains clear: we are at a defining moment. Our fiscal affairs are off track, and rising deficits and debt pose significant economic and national security concerns. Kent Conrad, a senior fellow at the Bipartisan Policy Center, emphasizes the urgent need for action, stating, ”I believe we’ve reached a defining moment – our fiscal affairs are completely off track. Rising deficits and debt are an economic and a national security concern.”
Amidst these alarming figures and grave concerns, there
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
*As an Amazon Associate I earn from qualifying purchases
Now loading...