Saturday, August 14, 2004

Other than the War, Mrs Lincoln. . .

Dems often cite the increased Federal Deficit to justify opposition to Bush. Yet according to AEI scholars Eric M. Engen and Kevin A. Hassett, Democrat numbers don't add up, primarily because they ignore Kerry's proposals for increased spending. Hassett says on TechCentral:
According to our analysis, roughly half of this additional spending is attributable to Senator Kerry's health care proposals that would add more than $900 billion in federal outlays. Education expenditure accounts for nearly one quarter of Kerry's new spending, with almost $500 billion added over ten years. A $400 billion expansion of military personnel and benefits for veterans comprises most of the remainder of Kerry's spending plans, with the balance distributed among numerous social programs and increases in international aid.
Hassett concludes:
The Kerry spending promises add up to an extraordinary amount of money. Our best estimate is that Kerry's proposals will add up to between $2 trillion and $2.1 trillion over the next ten years. Since the revenue from his tax proposals relative to the current baseline is actually negative, this implies that the Kerry proposal would increase the deficit by perhaps as much as $2.5 trillion over the next ten years.

On August 3, 2004, the Kerry campaign responded to criticisms such as this with a revised budget plan. The main difference between the first and second plans is that the campaign now claims to be able to save about $300 billion from eliminating corporate welfare. Even if we include this rather implausible savings in our estimate, the net increase in the deficit associated with Kerry's proposals is on the order of $2.2 trillion.
And they say Bush lies.

1 comment:

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