THE ARRIVAL OF THE 2020 BUDGET ON CAPITOL HILL
— CSPAN (@cspan) March 11, 2019Advertisements
TRUMP ECONOMIC ADVISER, LARRY KUDLOW, ON THE BUDGET
FREE STATE OF V ANALYSIS
- F.Y. 2020 Statistics and Graphs Here @ FREE STATE OF V Represent Executive OMB (Office of Management & Budget) Fiscal Information via The White House Budget Release on the Morning of March 11, 2019.
- Some of these Graphs combine both OMB Data (Executive Branch, The White House) & CBO (The Congressional Budget Office’s Legislative Branch Fiscal Prescriptions for Executive Agencies)
- MEDIA SOURCES: The Wall Street Journal, The Washington Post, The New York Times, & The Fox News Channel
FREE STATE OF V ANALYSIS
- TOTAL: $4.6 Trillion
- We may see a 2020 deficit that surpasses at least $990 billion and could even go north of $1 trillion.
- This is a record number, but every successive annual budget is a record.
- The last year the United States had a balanced budget was 2001. Since then, beginning in 2002, this nation has run an annual deficit.
- The 2020 budget, according to the Trump Administration, would initiate a long term plan to have the budget balanced in 15 years (the year 2034).
- The CBO (Congressional Budget Office) estimates that our current 2019 budget will run a deficit of at least $897 billion. Speculation is that that number could approach or even surpass $910 billion.
- There are NO cuts to federal non-discretionary spending for social welfare programs (mainly Medicare, Medicaid, and Social Security). This is typical, hence the label non-discretionary.
- The only cuts provided by the 2020 budget amount to a slashing of 5% total discretionary spending for social welfare entitlement programs like SNAP (The Supplemental Nutrition Assistance Program), which is also known as federal supplementation of State Food Stamps Programs. TANF (Temporary Assistance for Needy Families) also falls under the umbrella of discretionary spending for social welfare entitlement programs.
- A 5% slash to discretionary spending for these domestic entitlement programs is a relatively deep cut. However the Trump Administration plans on implementing more work requirements for those who seek access to social welfare programs. The theory behind this ideal is that when these programs are cut, it should be a non-issue, because the federal government is creating more of an incentive for Americans to work. They will need to have better explanations as to why they cannot work. Unfortunately we do have some Americans who are able to work but will only do so if it is harder for them to get on the rolls because they lack the new requirements to do so.
- Defense spending is increased by 5% in this budget.
- Homeland Security spending is also increased by 7%. $8.6 billion of that 7% is earmarked for additional funding of the Southern Border Wall.
- The American economy is HOT! This is the best it’s been since 1969. Trump’s tax cuts and deregulation policies have been driving forces behind such a successful economy.
- The administration accepts the fact that annual deficits did explode during the first two years of the Trump presidency. This, they say was expected but necessary to get the economy to where it is today. The focus now is on getting America on the right track so that annual deficits can be balanced.
- This budget is highly dependent upon continued economic growth and success.
- This budget is only a blueprint. According to the US Constitution, all appropriations (funding) come(s) out of the House of Representatives.
- The budget has to be approved by both chambers of Congress (The House of Representatives and the Senate).
- There’s no doubt that a fight over this budget between the Congress and the White House is looming.