the staff of the Ridgewood blog
Washington DC, The latest monthly report from Congressional Budget Office (CBO) is filled with grim numbers.
The budget deficit for the first half of FY 2023 has already reached $1.1 trillion – in just six months. Earth to Washington: Covid is long over. Why in the world are we spending and borrowing so much money? The red ink is running more than $400 billion HIGHER than at this stage last year.
What explains this deterioration? Spending is up 13 percent while receipts are down 3 percent.
Former Fed Board member Larry Lindsey predicts the deficit this year will come in at $1.75 trillion, or nearly 7% of GDP.
GOP House Speaker Kevin McCarthy put through a commendable debt ceiling and fiscal package
The bill includes :
- Work requirements for welfare benefits for able-bodied adults
- More domestic energy production
- No funding for 87,000 new IRS officers
- A one percent cap on spending
- No $300 billion green energy slush fund
- A one percent cap on spending
- No new major regulations without approval by Congress
- A one-year rise in the debt ceiling
You don’t agree to pay past bills only on the condition that you change how you spend in the future.