It’s true.

Revenues in FY 2011 were $2.30 Trillion
Outlays in FY 2004 were $2.29 Trillion

(Check the numbers yourself…Budget numbers directly from the White House Office of Management and Budget)

Instead, FY 2011 actual outlays were over 57% bigger than FY 2004 outlays… an increase of $1.31 Trillion to a total of $3.60 Trillion.

And that $1.31 Trillion Democrat increase in spending meant that instead of having a $0.01 Trillion surplus in FY 2011, we had a $1.30 Trillion deficit.

Why did outlays increase more than 57% between FY 2004 and FY 2011?

Things like TARP and “Stimulus” were supposed to be one-time hits in FY 2009, but those “temporary” increases in spending never went away. It’s like paying for a new TARP and a new “Stimulus” each and every year!

PD Quig on January 22, 2013 at 3:03 PM

Heh!

The private sector is generally more incompetent than the public sector.

Ha-ha.

Ha-ha, Ha-ha, Ha-ha, Ha-ha, Ha-ha, Ha-ha, Ha-ha!!!!!

BWAH-HAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHHHAHAHAH!!!!!!!!!!!!!!!!!

AHHHHHHHHHHHHHHHHHHH!!!!!!!!!!!!!!!

Ah….Oh, God, take me now… Whew!

What f*cking morons we’re dealing here, Lord.

crr6 on June 12, 2010 at 12:08 PM

Part of the low rates has to fall on the decrease availability of the U.S Treasuries as the FED buys half of them or more.

“…or more.” The Fed is now buying 90 percent of our debt. By keeping bond prices artificially high, they keep interest rates artificially low. Maybe they can keep this up for a few more years, but the four main central banks are all “printing” like there is no tomorrow–and they may be right. World debt to world GDP is now at 350 percent. We have never been close to this before–especially during peace time. So, look for war time to raise its ugly head, because none of this sh*t is getting paid back.

If nothing is done, then it will all come crashing down. Perhaps at that point all those ‘low information voters’ will realize THEY were the problem all along.

No one ever sees himself as a low information voter. The lower the information, the less he sees. It’s always those other people who are at fault.

You all have to remember, math is hard for liberals. Just blame wars and tax cuts and you will fight right in with all the liberals.

That is why interest rates are so low.

When that bubble bursts, we are in big trouble.

Mr. Arkadin on January 22, 2013 at 11:56 AM

Part of the low rates has to fall on the decrease availability of the U.S Treasuries as the FED buys half of them or more.

Since its all mandatory.

Complex problem, simple solution.

When you respond by saying that that will result in massive inflation, they answer, where is the inflation? Show me. The consumer price index is flat.

They are, of course, being dishonest.

Other sovereign countries print money, they get price inflation. We don’t, because our currency, the dollar, is the world’s reserve currency. All these export led economies, like China, are paid in dollars. Normally all these dollars floating around would cause the “price” of the dollar to plummet, but the central banks of the export economies manipulate the currency ratio to keep their export prices low and their economies afloat. The dollars get “parked”. Meanwhile, their artificially high currencies lead to high domestic inflation and credit bubbles. The U.S. exports inflation.

But not entirely. Those dollars have to be “parked” somewhere. In dollar denominated assets. That’s where the domestic U.S. inflation appears, as Austrian theory would predict. As demand for dollar denominated assets increases, their price increases. The shakiness of the world economy has lessened the appetite for investment risk, and for commodities, so “safe” assets, particularly U.S. treasuries, are in high demand. That is why interest rates are so low.

When that bubble bursts, we are in big trouble.

No, we are past the point of no return. Now is the time to prepare for the inevitable collapse. Let’s be the ones in the position to pick up the pieces and rebuild.

Did anybody listen to his collectivist jerk off speech yesterday?
Zetterson on January 22, 2013 at 11:04 AM

I for one did not, but I’d bet a lot of true believers did.

1. Whoever made these charts is colorblind. Is it the gray one or the other gray one?

2. We currently spend more on debt service than the military. And the only thing keeping debt service down is the stupid-low interest rates that make a savings account so attractive (cough).

3. No matter the taxation you ain’t getting more than 21% MAX of GDP as income.

Deficits became a persistent problem when Nixon decoupled us from the gold window,

Yes, I think it was Zero Hedge that had a chart on the debt that mushroomed after 1971, when we left the gold standard.

Something tells me that 1970 spending spree and the 1971 gold standard are connected, and the result is not good.

NOMOBO on January 22, 2013 at 10:40 AM

Nice description.

Would you also agree that swollen corporate treasuries (due to uncertainty what teh one will ever do) suppress the demand for dollars and contribute to low interest rates?

Can We get some graphs that have colors that are different enough to be able to be distinguishable for those of us that can’t tell the difference between “Mauve” and “Purple”

Defenestratus on January 22, 2013 at 10:28 AM

Indeed. Chart as presented is nearly useless due to the color scheme.