Okay. Who woke Kondracke up?
President It Ain’t My Money is going to spend us into deficit oblivion so he can get re-elected?
The potential long-term fiscal outlook was scarily outlined in a paper prepared early this month by outgoing Congressional Budget Office Director Dan Crippen for Sen. George Voinovich (R-Ohio).
If Bush gets his way and Congress permanently extends his 2001 tax cuts beyond their present cutoff date of 2010 and if spending continues to grow at current rates, the paper stated, the currently anticipated overall 10-year budget surplus of $1 trillion will collapse into a deficit of $2.5 trillion.
And this estimate did not include probable adjustments to the alternative minimum tax, which could cost up to $200 billion, the $300 billion 2003 stimulus package that Bush is contemplating, costs of an Iraq war and occupation, and a prescription drug benefit, which is likely to cost at least $300 billion.
In his letter to Voinovich, Crippen calculated that, of the $3.5 trillion reversal, more than $950 billion would result from the tax cuts – demonstrating one reason why Crippen, though a Republican, is about to be replaced as CBO director after one four-year term.
“I said in May that I was not interested in being reappointed,” Crippen said in an interview. “It’s become a happy coincidence because they don’t want me, either.”