Funny How Time Flies - US Economy - Jayhawk Get off Your High Horse - Mercedes-Benz Forum

 
LinkBack Thread Tools Display Modes
post #1 of 4 (permalink) Old 09-24-2008, 10:10 AM Thread Starter
BenzWorld Elite
 
slybydesign's Avatar
 
Date registered: Jan 2007
Vehicle: My Two Left Feet
Location: S.D. Cali
Posts: 3,183
Mentioned: 0 Post(s)
Quoted: 0 Post(s)
(Thread Starter)
Funny How Time Flies - US Economy - Jayhawk Get off Your High Horse

Administration announces record annual budget surplus

October 24, 2000
Web posted at: 2:19 PM EDT (1819 GMT)

WASHINGTON (AP) -- Flush with tax revenues from a booming economy, the federal government posted a record $237 billion surplus for the budget year that ended in September, the Clinton administration announced Tuesday.

It marked the third straight year of surpluses, something that hasn't happened since the late 1940s.

The official announcement of the 2000 surplus comes only two weeks before voters elect a new president. A major point of contention between Vice President Al Gore, the Democrats' presidential pick, and Texas Gov. George W. Bush, the Republicans' choice, has been what should be done with surpluses that are projected to total $4.6 trillion over the next decade.
MESSAGE BOARD
Bill Clinton's legacy


Bush has proposed a $1.3 trillion across-the-board tax cut, while Gore has proposed smaller, targeted tax cuts and more government spending.

The government's 2000 surplus surpassed the previous record of $124.4 billion for fiscal year 1999 and came on top of a $69.2 billion surplus in fiscal year 1998. The 1998 surplus marked the first time the government had managed to finish in the black since 1969.

The last time the government reported three consecutive years of surpluses was in 1947, 1948 and 1949.

The record-breaking economy is in its longest-ever streak of uninterrupted growth. Americans are enjoying plentiful jobs, low inflation -- outside of recent burst of energy -- and rising incomes. The prosperity also is helping to generate more tax revenues.

Economists say one of the cornerstones to the prosperity has been low unemployment. The surging economy pulled the nation's unemployment rate back down to a three-decade low of 3.9 percent in September from an already low 4.1 percent in August.

President Clinton last month had estimated a surplus of around $230 billion for the recently ended fiscal year and the Congressional Budget Office was predicting $232 billion.

Revenues for fiscal year 2000, which ended Sept. 30, totaled $2.03 trillion, while expenditures came to $1.79 trillion, the Treasury Department and the Office of Management and Budget said.

Individual tax payments totaled $1 trillion, compared with $879 billion in fiscal year 1999. Payments from corporate taxes came to $207.3 billion, up from $184.7 billion.

***********


NEW YORK (CNNMoney.com) -- The budget deficit will jump by $246 billion to $407 billion this year, the Congressional Budget Office estimates in a report released Tuesday.

"Over the long run, growing budget deficits and the resulting increases in federal debt would lead to slower economic growth," the agency said.

The budget deficit shot up 153% from last year's shortfall of $161 billion. The government's fiscal year ends Sept. 30. The agency attributes the jump to "a substantial increase in spending and a halt in the growth of tax revenues."

That drop in revenue is driven in part by an estimated 15% decline in corporate tax receipts. They fell as a result of lower corporate profits and tax rules governing how businesses depreciate their investments this year. A second factor is the rebates provided to tax filers from the economic stimulus law Congress passed earlier this year.

The spending hike is partly due to efforts by the government "to cover the insured deposits of insolvent financial institutions," the agency said.

To date, 11 banks have been seized by the FDIC this year - not a high number historically, but higher than it's been in recent years - and that number is expected to grow in the coming months.

The CBO said it expected the deficit to exceed $400 billion - or 3% of gross domestic product - for each of the next two years if current policies remain in place. It also forecast several more months of "very slow" economic growth.

"The nation is experiencing a significant period of economic weakness," said Peter Orszag, director of the CBO, in a press briefing.

The CBO's estimate for the cumulative deficit over the next 10 years is now $2.3 trillion. Earlier this year, the CBO estimated the country would have a $300 billion surplus by 2018. But that was wiped out in part because of new spending approved by lawmakers for the war in Iraq and Afghanistan and revised economic projections.

And the 2.3 trillion figure doesn't account for the likelihood that the 2001 and 2003 tax cuts will be extended or that the middle class will continue to be protected from the Alternative Minimum Tax - or so-called wealth tax. If those extensions are made - and both presidential nominees have been calling for that, at least in part - then the 10-year deficit projection jumps to more than $7 trillion.
Putting Fannie and Freddie on the books

The agency's latest estimates do not reflect the Treasury announcement this weekend that the government would temporarily takeover Fannie Mae and Freddie Mac, the two government-sponsored enterprises that form the backbone of the mortgage market.

But Orszag said that come January, the CBO will be incorporating the activities of Fannie and Freddie in its baseline for the federal budget. The CBO will be working with House and Senate budget committees to address questions of just how transactions by both companies should be accounted for - the answers to which will greatly influence the net effect the companies have on the federal deficit.

"The degree of control exercised by the federal government is so strong that the best treatment is to incorporate [the agencies] into the federal budget," Orszag said.

To allay one concern that many taxpayers have expressed, the roughly $5 trillion in loans that Fannie and Freddie own or back would not be added wholesale to the debt held by the public, Orszag told CNNMoney.com.

"I don't see a scenario in which you take a total of the mortgages backed and add that to the federal deficit," he said.

But beyond all these near-term concerns affecting the government's debt load, he said the biggest challenge facing the country's coffers is rising health care costs. Federal spending on Medicare and Medicaid alone is expected to jump 30% in the next decade - from 4.6% of GDP this year to 6% in 2018. By 2050, it could jump to 12% of GDP.

As a result, Orszag said in the press briefing, "The nation is on an unsustainable fiscal course."


And you feel you are living the American Dream Jay, you feel like we should stick to the plan?






3. Paul Hamm, Gymnast: I owe a lot to my parents, especially my mother and father.
slybydesign is offline  
Sponsored Links
Advertisement
 
post #2 of 4 (permalink) Old 09-24-2008, 10:19 AM
~BANNED~
 
Jakarta Expat's Avatar
 
Date registered: Aug 2006
Vehicle: PM me to Join the Expat Muslims for Obama Club........
Location: Jakarta, Indonesia
Posts: 17,697
Mentioned: 0 Post(s)
Quoted: 3 Post(s)
Shit I am seriously considering converting 200,000 USD to the Euro and another 100,000 USD to Gold and Silver, it really looks shaky................
Jakarta Expat is offline  
post #3 of 4 (permalink) Old 09-24-2008, 10:30 AM Thread Starter
BenzWorld Elite
 
slybydesign's Avatar
 
Date registered: Jan 2007
Vehicle: My Two Left Feet
Location: S.D. Cali
Posts: 3,183
Mentioned: 0 Post(s)
Quoted: 0 Post(s)
(Thread Starter)
Quote:
Originally Posted by Jakarta Expat View Post
Shit I am seriously considering converting 200,000 USD to the Euro and another 100,000 USD to Gold and Silver, it really looks shaky................
There are celebrities now who refuse to get paid in USD, they all are opting pay in Euro's. I am not rich or anything, but to give you a sign of the times, to make my dollar stretch I went food shopping yesterday and had to go to 3 separate markets all walking distance from each other just to get more food for my dollar. I knew some had sales on meet where as some had better sales on soda's. Same with bread, I purchased cold cuts from one place and the bread from another. I just have to be smart with the dollar these days. There are people in my financial bracket (broke ) who are not buying new cars till they find out who will be president.






3. Paul Hamm, Gymnast: I owe a lot to my parents, especially my mother and father.
slybydesign is offline  
post #4 of 4 (permalink) Old 09-24-2008, 11:35 AM
BenzWorld Elite
 
FeelTheLove's Avatar
 
Date registered: Sep 2004
Vehicle: 83 Astral Silver 280 SL
Location: Planet Houston
Posts: 28,829
Mentioned: 0 Post(s)
Quoted: 8 Post(s)
Quote:
Originally Posted by Jakarta Expat View Post
Shit I am seriously considering converting 200,000 USD to the Euro and another 100,000 USD to Gold and Silver, it really looks shaky................
I would do it. My entire portfolio is in Canadian/European stocks and natural resource mutual funds. I'm up 20% YTD.

Recall that earlier generations faced down fascism and communism not just with missiles and tanks, but with sturdy alliances and enduring convictions. They understood that our power alone cannot protect us, nor does it entitle us to do as we please. Instead, they knew that our power grows through its prudent use; our security emanates from the justness of our cause, the force of our example, the tempering qualities of humility and restraint.

-President Barack Obama, 1st Inaugural address
FeelTheLove is offline  
Sponsored Links
Advertisement
 
Reply

  Mercedes-Benz Forum > General Mercedes-Benz Forums > Off-Topic

Quick Reply
Message:
Options

Register Now



In order to be able to post messages on the Mercedes-Benz Forum forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.

User Name:
Password
Please enter a password for your user account. Note that passwords are case-sensitive.

Password:


Confirm Password:
Email Address
Please enter a valid email address for yourself.

Email Address:
OR

Log-in











  • Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
     
    Thread Tools
    Show Printable Version Show Printable Version
    Email this Page Email this Page
    Display Modes
    Linear Mode Linear Mode



    Similar Threads
    Topic Author Forum Replies Last Post
    Check Engine- High Economy 1fast190e W201 190-Class 2 07-06-2008 05:50 AM
    high idle/ economy gauge 50% mountainredneck W124 E,CE,D,TD Class 1 04-15-2007 07:33 PM
    Best economy of all time? Andrew2004az Off-Topic 24 04-10-2006 04:35 PM
    High Horse snips Off-Topic 1 04-08-2006 06:32 PM
    Oh how time flies! My 350's first anniversary is coming up soon... S4toML W163 M-Class 10 12-04-2003 08:52 AM

    Posting Rules  
    You may post new threads
    You may post replies
    You may not post attachments
    You may not edit your posts

    BB code is On
    Smilies are On
    [IMG] code is On
    HTML code is Off
    Trackbacks are On
    Pingbacks are On
    Refbacks are On

     

    Title goes here

    close
    video goes here
    description goes here. Read Full Story
    For the best viewing experience please update your browser to Google Chrome