White House spokeswoman Jen Psaki confirmed that the administration pegs the current deficit at $1.3 trillion, or 9.2% of the overall [dismal] economy, and projects that in four years the deficit will be down to $533 billion, or 3% of the economy as measured by the gross domestic product.
"The budget will cut the deficit that the president inherited upon assuming office at least in half by the end of his first term," said Kenneth Baer, a spokesman for the Office of Management and Budget.
ast førward43 straight months of 8 percent or higher unemployment:
But the budget deficit projected for 2012 in his latest budget is $1.327 trillion ["revised" late last month to $1.1 trillion], the fourth year in a row with deficits that high. Until President Obama, no federal deficit had ever been anywhere near $1 trillion. The previous all time record was $458.6 billion, less than half one trillion, in 2008 in the depths of the financial crisis.
In sharp contrast, under [upcoming Vice President Paul] Ryan's budget, even with CBO's static scoring, the federal deficit would be reduced by at least 86% by 2017, in just 5 years, to $182 billion. That deficit under Ryan's budget would be less than 1% of GDP by 2017, at 0.9%, where it stabilizes for 6 years to the end of the 10 year budget window. Most importantly, given the sharp tax rate cuts in Ryan's budget, with dynamic scoring the budget would probably be balanced by that 5th year, 2017. That is because in the real world the rate cuts will not lose nearly as much revenue as CBO scores.
So the American people can now decide. Do they want to move rapidly towards a balanced budget? Or do they want to maintain ongoing record deficits?
WH spokesliar: "No, the pResident can't count to 4 because he lost two fingers on his counting hand during his personal hand-to-hand combat with bin Laden."