Obama's Tax Plan Would Balloon Deficit, Study Finds

Washington Post:

On the campaign trail, Sen. Barack Obama bashes President Bush for "reckless" economic policies that are "mortgaging our children's future on a mountain of debt." But the Democratic presidential candidate has adopted a key component of Bush's fiscal policy: A novel bookkeeping method that guarantees that the $9.5 trillion national debt will get much bigger.

When Obama promises to cut taxes for the middle class without increasing the deficit, he is measuring his proposals against the large deficits that would result from Bush's plan to extend his signature tax cuts beyond their 2010 expiration date. Because Obama wants to eliminate some of the Bush tax cuts, he would bring more money into the Treasury, permitting him to pay for new programs without increasing the deficit even more.

But under current law, all the tax cuts expire and the deficit disappears completely. Democrats in Congress have vowed to preserve the Bush tax cuts only if they can cover the cost and keep the budget in balance. Measured against current law and against the promises of his fellow Democrats, Obama would rack up huge deficits. According to a recent analysis by the nonpartisan Tax Policy Center, Obama's tax plan would add $3.4 trillion to the national debt, including interest, by 2018.

Read the whole story: Washington Post

Comments

[Argoth]

For shame Huffpo. This article is very misleading and you are propagating the falsehoods in it.

The article focuses on Obama, but only spends a sentence on the fact that McCain will increase the deficit by 5 trillion which is MORE than Obama.

Come on be part of the solution, not the problem Huffpo.

[ConcernedAboutRFuture]

Oooo, more Obama smearing from the MSM... what a surprise!

The media makes me SICK... sick....sick!!!

[PJay1]

Um, has this 'study' also looked into how an illegal invasion and occupation of a sovereign country can contribute to a "ballooning" deficit?

And have they also made the no-brainer connection of the money NOT spent on this occupation would help with domestic agendas?

I didn't think so.

[armadillious2002]

This is all hypothetical. If the economy improves and revenue increases - this will have a large effect on the size of the deficit. Just as Clinton's surplus evaporated so too can the bush deficits.

[CEPHALUS]

So McSellout budget would placed the US in $1.6 trillion more debt,and Obama is the story ,why?
There goes the hotdog and burger journalist,working for their ticket for the next McSellout cookout.
You are soooo CHEAP.

[DaOne]

Huffpo what gives with the misleading headline? Both candidates plans would increase the deficit and Mc Cheese's by more 5.8 vs 3.9. His is still the worse plan.

What's more disheartening is that you write up a story from WaPo that was already documented in late April by the NYT using estimates from the same group. What passes for reporting these days is sad indeed.

http://www.nytimes.com/2008/04/27/us/politics/27fiscal.html

[ErinBerin84]

typical of Huffington Post....running an article with a completely misleading headline that is meant to bash a democrat, without noting the line at the very end of the article that indicates that the study found the McCain plan to be even worse...you guys are pathetic.

[teron678]

I will put my faith in Obama ... Why?? .. Just looking at how he ran his campaign .. i have confident he will do the same to the country ... he didn't end up in debt .. as someone (not calling name) ....

Troops Home ... Less Spending .. Using this Money to invest in Early Childhood Education, Green Jobs, Alternative Energy, Science & Research ....... will lead to a surplus .......

Obama = 3.4 trill debt

Mc Cain = at least 5 trill debt

[Gma11]

I will as well. His plans will add jobs and reduce future energy dependency.

After Bush, we're faced with incredible dilemmas - damned if we do, damned if we don't. But I'd rather have Obama making those decisions than McCain!

[steamboat]

Bill Clinton balanced the budget....Of course, much of the reason is because he used alot of the Social Security funds which is why thats now really shaky.

[steamboat]

i'll agree with you about troops home (Iraq). But remember, Barack is promising 2 more brigades for Adghanistan.....As far as less spending, you do know that means alot of useless social programs and some entitlements. Is that ok with you?...I've been for science & research-----have scholarships for students of science like Eisenhower and Kennedy gave. But you are going to run up against alot of your favorites because their not about to forsake alot of their fellow academics who have cushy jobs pushing and teaching useless majors like African-American Studies, Urban Studies, Philosophy, Recreation, Tourism, and so on. Believe me, you will.

[UCFJayBird]

Seriously, I was reading this article and began to be a little worried, until they finally mentioned what McCain's plan would do.

*shakes head* A whole article bashing Obama's plan, and they use one line to show McCain's is worse.

[kevinem2]

I see everyone has already pointed out the stupidity of that headline...

[jethrock]

If Obama's plan is a balloon (3.4.)... McCain's is a bust (5).

At least Obama's plan would lift the economy

[demfriend]

Yeah I get it. One study and it happens to be a group "non-partison" but others who are also having looked at the plan have said it is so much better than anything BUSH or MCCAIN have. Go figure anyway Bush has down such massive damage to our economy that IF it CAN be fixed it will be a miracle. The two wars and the hidden black programs the congress has funded for Bush with all of the prisons PLUS the trillions lost to bribes and cut throat crappola for Blackwater and KB the mother company all together has done the worst damage to our economy and we may never know the true totals due to the hidden stuff. We know that some money has gone for equipment but nothiing like it should have to protect our troops. Blackwater got paid and their guys got the good stuffour guys died or were hurt badly for lack of proper equipment. Plus the electrocutions of our guys while taking showers etc due to poor building and wiring. Katrina damage ignored while Bush has played war instead. What we could have done with that money! Mac is Bush 3.

[Allamr18]

welli suggest we retool our plan and get something that works. no need for us to keep something that could be harmful. but id imagine the first priority would be chipping at the deficit, then the war, then energy. its going to be tough regardless. but the way obama has run his campaign lets me know it can be accomplished

[teron678]

"McCain's tax plans would increase the national debt by at least $5 trillion over the next 10 years" .. in same article .....

Green Energy will produce jobs leading to revenue ..

We leave Iraq ... less spending ...

the list goes on .......

[TiffanyHusseinBanned]

"According to the Tax Policy Center, Mc*Cain's tax plans would increase the national debt by at least $5 trillion over the next 10 years."