Jimmy Higgins
Contributor
- Joined
- Jan 31, 2001
- Messages
- 50,265
- Basic Beliefs
- Calvinistic Atheist
So, the GOP want to cut Biden's agenda at the knees and help toss America into a recession. Their plan is to limit spending increases in a number of arbitrary areas to an annual rate of 1%.
Here is the issue, as has been the issue recently... and quite predictably a long time ago (W Admin era). Discretionary spending isn't the problem... hasn't been for a while. It is REALLY simple.
Social Security is increasing annually near a rate of 10%. In 2023, Social Security was over $1 trillion in spending. Non-military discretionary spending was less than $1 trillion.
So, with Social Security definitely rising at 10%, cutting discretionary spending to below inflation will not balance the budget. Holding non-military discretionary spending to 1% means annual increases of around $10 billion. But Social Security alone is increasing over $100 billion a year!
Add in Medicare and Medicaid ($800 and $600 billion each with likewise 10% increases), and that is another $140 billion increase. With current annual deficits of around $1.5 trillion, the proposed efforts by the GOP would help reduce the INCREASE of the deficit by a paltry and irrelevant amount, while impacting the economy by a lot more than it is saving. But this is the game the GOP has been playing for a while now (when the Dems are in the White House).
Here is the issue, as has been the issue recently... and quite predictably a long time ago (W Admin era). Discretionary spending isn't the problem... hasn't been for a while. It is REALLY simple.
Social Security is increasing annually near a rate of 10%. In 2023, Social Security was over $1 trillion in spending. Non-military discretionary spending was less than $1 trillion.
So, with Social Security definitely rising at 10%, cutting discretionary spending to below inflation will not balance the budget. Holding non-military discretionary spending to 1% means annual increases of around $10 billion. But Social Security alone is increasing over $100 billion a year!
Add in Medicare and Medicaid ($800 and $600 billion each with likewise 10% increases), and that is another $140 billion increase. With current annual deficits of around $1.5 trillion, the proposed efforts by the GOP would help reduce the INCREASE of the deficit by a paltry and irrelevant amount, while impacting the economy by a lot more than it is saving. But this is the game the GOP has been playing for a while now (when the Dems are in the White House).
