U.S. government posts $147 billion deficit in May

WASHINGTON (Reuters) - The U.S. government had a $147 billion budget deficit in May, an increase of 66 percent from the same month last year as the ledger took a hit from declining revenue and higher spending, according to Treasury Department data released on Tuesday.

Economists caution that the Trump administration’s corporate and individual tax cuts along with an increase in government spending will drive up the country’s deficit despite a robust economy in which the unemployment rate has fallen to an 18-year low.

Reuters

Contrary to what the government keeps telling us about tax cuts, cutting spending and a booming economy, it seems it's just more of the same, despite the rhetoric. According to the Treasury Department, the month of May has been a deficit for 63 out of the last 64 years.

Each month seems to add quite a bit more to our deficit as we spend more and make less.

Monthly Treasury Statement for May 2018
Previous Issues of MTS

a reply to: Kharron

Were you angry when other presidents did the same? (Just checking)

originally posted by: network dude
a reply to: Kharron

Were you angry when other presidents did the same? (Just checking)

Of course. Are you angry now as you were with other presidents?

I am getting more concerned now though. Pick a month and check the past years for the same month, apart from April, which is always a surplus due to taxes; you will find that once the new White House policies started taking effect, pretty much every month is a 50% increase over the previous years.

Which means any booming economy is artificial and will not last very long until another crash... unless the revenue increases and the spending decreases, it is inevitable. We can't just keep borrowing money forever.

Does that concern you?

a reply to: Kharron

to be honest, when Clinton "balanced" the and then Bush and Obama spent it into the trillions, I was not all that angry. I did enjoy the wave of good fortune when my business started in 2000 and rode it all the way till now, when things went bad and are now starting to move back to the good side.

But the deficit is kind of an abstract thing, but makes for a good reason to hate the other guy. I remember folks being angry at Obama for his reckless spending too.

Perhaps we will move to a more fluid currency and start trading unicorn hooves.

a reply to: Kharron

Thats because the Fed has been pumping money into the market to prop it up. Easy money everywhere you look

The data says that the majority of spending in this country comes in the form of debt

a reply to: network dude

Because dollars being backed by increasingly stale unicorn farts is a good things.

How about be mad at Bush, Obama and Trump when they're flushing US down the drain, rather than attempt to figure out some angle of ignorance whereby the person delivering the message surely has to be some sort of partisan hater. Hell, even if they are, what difference does it make?

originally posted by: network dude
a reply to: Kharron

to be honest, when Clinton "balanced" the and then Bush and Obama spent it into the trillions, I was not all that angry. I did enjoy the wave of good fortune when my business started in 2000 and rode it all the way till now, when things went bad and are now starting to move back to the good side.

But the deficit is kind of an abstract thing, but makes for a good reason to hate the other guy. I remember folks being angry at Obama for his reckless spending too.

Perhaps we will move to a more fluid currency and start trading unicorn hooves.

Or we could just spend less and find ways to make more. Cutting taxes on the upper most slice of the population and the corporations put most of the revenue burden from taxes on the middle and lower class, which just doesn't cut it. All the month to month charts also break down the spending and where it goes. If you carefully go over it, if you have time, you'll notice it's getting out of control, starting in 2017.

I know our economy isn't perfect, never will be and we will always spend more than we make; but at least it got stable after the 2008/2009 crash. Now it's starting to tank again; and with a still recovering economy, we don't need to act like a 50-60% sudden increase is nothing. It certainly doesn't put me at ease.

Unemployment low. Inflation low. Growth looking good.

There is absolutely no reason to fret about the deficit.

a reply to: network dude

Bush and Obama

a reply to: IgnoranceIsntBlisss

Bush, Obama

But but Obama! But but Bush! Instead of holding this president and congress accountable, deflect to other presidents. Whataboutism working overtime.

originally posted by: network dude
a reply to: Kharron


But the deficit is kind of an abstract thing, but makes for a good reason to hate the other guy.

What the hell did I just read?!?

Abstract? In what way is debt abstract?

originally posted by: Kharron

originally posted by: network dude
a reply to: Kharron

to be honest, when Clinton "balanced" the and then Bush and Obama spent it into the trillions, I was not all that angry. I did enjoy the wave of good fortune when my business started in 2000 and rode it all the way till now, when things went bad and are now starting to move back to the good side.

But the deficit is kind of an abstract thing, but makes for a good reason to hate the other guy. I remember folks being angry at Obama for his reckless spending too.

Perhaps we will move to a more fluid currency and start trading unicorn hooves.

Or we could just spend less and find ways to make more. Cutting taxes on the upper most slice of the population and the corporations put most of the revenue burden from taxes on the middle and lower class, which just doesn't cut it. All the month to month charts also break down the spending and where it goes. If you carefully go over it, if you have time, you'll notice it's getting out of control, starting in 2017.

I know our economy isn't perfect, never will be and we will always spend more than we make; but at least it got stable after the 2008/2009 crash. Now it's starting to tank again; and with a still recovering economy, we don't need to act like a 50-60% sudden increase is nothing. It certainly doesn't put me at ease.

The economy got stable after 2008 because the government was able to run a deficit when needed ( it should have run a bigger deficit and the recovery would have been a lot faster and stronger).

There is still a decent amount of expansion potential to run in the economy yet so the current deficit is a non issue.

a reply to: Southern Guardian

I name all three and you've got the balls to say "Whataboutism working overtime."

originally posted by: IgnoranceIsntBlisss
a reply to: Southern Guardian

I name all three and you've got the balls to say "Whataboutism working overtime."

So the first graph says debt is going to increase 900% over 70 years as a share of economy? Based on what?

Eta- you removed first graph.

a reply to: ScepticScot

The bastard preview was taking too long. I've got like literally 1000+ images in my (tool)box to picker thru when I go for one for a task.

originally posted by: Southern Guardian
a reply to: network dude

Bush and Obama

a reply to: IgnoranceIsntBlisss

Bush, Obama

But but Obama! But but Bush! Instead of holding this president and congress accountable, deflect to other presidents. Whataboutism working overtime.

Yes, it sure was. Whataboutism bigley. Trump is spending too, he is spending bigley.

If you can find me bitching about Obama doing this, then I'd be a dick. If you can't, then perhaps it's just an observation.

originally posted by: nightbringr

originally posted by: network dude
a reply to: Kharron


But the deficit is kind of an abstract thing, but makes for a good reason to hate the other guy.

What the hell did I just read?!?

Abstract? In what way is debt abstract?

what tangible item is the US dollar based on?

a reply to: IgnoranceIsntBlisss

that's because average person cannot afford to pay for the basic necessities, essentially we have half of the country enslaved enriching the other half of the country

a reply to: IgnoranceIsntBlisss

that's because average person cannot afford to pay for the basic necessities, essentially we have half of the country enslaved enriching the other half of the country

a reply to: Kharron

Easy.

Cut government spending.

Slash every budget by 20%.

Done.



*wipes hands and looks to next project; world peace*

originally posted by: network dude
to be honest, when Clinton "balanced" the budget

Balanced my a$$. All Clinton did was to move money from dedicated accounts into the General Fund. Then he had more money in the General Fund than was required for the budget. Then the Democrats declared a surplus and spent the extra. When those projects that were to be funded by those dedicated accounts came due, the money was taken from the General Fund causing a deficit. Of course by that time Clinton was no longer President.