In February of each year, American presidents unveil their budget proposals to Congress. These gigantic documents are compiled with the feedback of federal agencies and the Office of Management and Budget before being printed by the U.S. Government Printing Office and submitted to Congress. The just issued proposed U.S. Government Budget for Fiscal Year 2016 (which begins on October 1, 2015) is truly an exercise in economic folly by the Obama Administration. Criticizing what he regards as “mindless austerity”, Barack Obama favors turning on the spigots of government appropriations again now that there are some signs of economic improvement. Obama and his allies conveniently forget that these signs of economic improvement stem, in significant measure, from the sequestration of a couple years ago and the oil shale boom, and not from any of his own policy efforts.
We are still looking at budget deficits of over $400 billion and the national debt is approaching $19 trillion and has shown no signs of abating during the Obama Administration. We are still spending way to much on social programs and not enough to equip the military to deal with ISIS and emerging threats from Iran and China. Barack Obama really thinks government money is a limitless piggy bank which he can dip into at any time without thinking of the long-term consequences. Fortunately, since the Congress is in Republican hands there is zero chance of Obama’s entire proposal being approved.
Obama and his acolytes fail to realize that the government must manage its finances the way individuals and families do by living within their means, prudently planning, not spending unnecessarily, and saving for rainy days. The Obamaites also forget that governmental spending is done with the people’s money and does not grow on trees. It is possible that Congress and the Obama Administration could reach some desirable objectives in areas such as infrastructure development, tax reform, and trade promotion authority. The next few months will be an excellent opportunity for congressional Republicans to trim wasteful and illegal government spending, such as Obama’s executive amnesty on immigration, from the federal balance sheet.
However, Obama’s continued class warfare budgeting favoring more taxes on high income earners, increasing capital gains taxes, and turning on the fiscal spigots after some restraint in the past few years is sheer folly which, if enacted, would injure economic growth and job creation prospects. More paid workers paying taxes augment government revenues better than taxing the affluent based on paroxysms of class envy. Obama is more interested in plunging the country into further debt and playing class resentment politics to benefit Hillary Clinton’s presumed presidential aspirations than achieving something resembling fiscal probity. It’s sad that so many low information voters our there still belief the hope and change rhetoric con artist Obama espoused in his 2008 campaign. These folks need to be aware that the emperor has been stripped of his clothes and his political and moral nudity and impotence are present for all the world to see.