Shocker: “Fiscal Cliff” Deal Includes $330 Billion In New Spending, Adds $4 Trillion To Deficits

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About those “spending cuts” that supposedly balance the $620 billion in tax hikes in the “fiscal cliff” deal passed by the Senate last night. Turns out, the bill increases both national spending and the ten-year window of budget deficits significantly.

The “fiscal cliff” deal that was designed to save money actually includes $330.3 billion in new spending over the next decade, according to the official estimate the Congressional Budget Office released Tuesday afternoon.

CBO said the bill contains about $25.1 billion in new cuts, but those are swamped by the new spending on extended unemployment benefits for the long-term jobless and other new refundable tax credits that President Obama fought for.

Of those cuts, only $2 billion are scheduled to take effect in 2013.

Obama was on track to take America to $22 trillion in national debt by the end of his term. Thanks to this deal, he’s on track to take us to about $26 trillion.

That would be more than $15 trillion in new debt under President Obama (the national debt was just over $10 trillion when Obama took office).

And remember, all this finagling about the “fiscal cliff” was about reaching a deal which made the nation’s finances healthier.

Rob Port is the editor of SayAnythingBlog.com. In 2011 he was a finalist for the Watch Dog of the Year from the Sam Adams Alliance and winner of the Americans For Prosperity Award for Online Excellence. In 2013 the Washington Post named SAB one of the nation's top state-based political blogs, and named Rob one of the state's best political reporters. He writes a weekly column for several North Dakota newspapers, and also serves as a policy fellow for the North Dakota Policy Council.

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  • borborygmi

    Refundable tax credits? SO you want to raise taxes instead?

    • Deficit Hawk

      Refundable tax credits is a form of indirect welfare. See EIC. Why should you get refunded that which you didn’t pay?

  • $8194357

    Socialism always works for the half of the people who get paid
    until the other half run out of money…
    We the working class are out of money..
    But for the time being, the most evil and lawless leader our nation has ever had continues to shine in the eyes of millions of clueless Americans.

    From Godfather politics……….
    In 1917, a man from a middle class Russian family quickly rose to power and became the leader of the newly formed Soviet Union in 1922. His name was Vladimir Lenin and at the time, he was greatly admired by the Russian people. Lenin established a Marxist government where most of the people lost all of their rights and became enslaved by the government. Before his death in 1924, he was no longer admired by the Russian people, but hated instead.

    In 1930s Germany, a virtual unknown also rose to power quickly and took control of his country. His name was Adolf Hitler and in the early and middle 1930s, he was admired by many of the German people. Hitler established a Nazi government where the people lost many of their rights and freedoms and became enslaved by and feared the government. Like Lenin, Hitler also went from being admired by the German people to being hated and despised by the time of his death in 1945.

    In 2008, another virtual unknown quickly rose to power and became the President of the United States. His name is Barack Hussein Obama and like the other two leaders, is currently considered to be the most admired man in America. Like Lenin and Hitler, Obama has been changing America’s form of government to one of socialism. He has also been taking away the rights and freedoms of American citizens and enslaving them through entitlements and government subsidies. If he is not stopped soon, he will also become hated and feared by the majority of Americans.

    But America is not quite at that stage yet. In a recent USA Today/Gallup Poll, Obama was once again named as the most admired man. Sadly, Hillary Clinton was also renamed as the most admired woman. As Obama continues to destroy the American economy and government and replace it with a socialistic rule, the American people will begin to open their eyes and see just what the tyrant leader has done to the nation and to them. By the time their admiration for him begins to wane, it will be too late and all will be lost. But for the time being, the most evil and lawless leader our nation has ever had continues to shine in the eyes of millions of clueless Americans.

    Read more: http://godfatherpolitics.com/8778/americas-worst-still-americas-most-admired/#ixzz2GlPAq7Fd

  • LastBestHope

    I’d say that those who agreed to this “Deal” were rearranging deck chairs on the Titantic….but that would understate the magnitude of this new futility. This nation today owns $16+ Trillion in unsustainable debt. It will balloon to $20 Trillion by 2016, if not sooner. Everyone but little kids (and some politicians) understands this is ruinous and must be addressed if we are to avoid the fate of Greece here at home….and save the world from the tectonic aftershocks of an American economic collapse.

    No more kick the can. Let the pain happen Now….so that we can at long last get to the acceptance stage of our debt cancer. Then solutions might be offered that are more than band-aids on a gaping heart wound.

  • http://randysroundtable.blogspot.com/ Randy G

    A $26 trillion dollar national debt cannot be fixed. Period. The gun is held at House Republicans heads by the Marxist dictator. I say screw him and this Senate sh*t sandwich, take a bullet and prepare for a Dow 3000 and unemployment in the 25% range. Take the battle to the streets if need be, he knows who is armed.

    • LastBestHope

      As in the 1850’s, the democratic process is on trial right now. Our system of government failed US then and the result was a bloodbath beyond anyone’s imagination.

      We can’t have such a failure in our time.

      We can’t have such a failure in our time.

      We can’t have such a failure in our time.

    • Dakotacyr

      Bwahahahaha!!!!!!

  • splined

    Hoeven, a member of the stupid party on the same page as Obama and most other members of the evil party. When your employer has to pay more in taxes that means less dollars available for employee wages. More taxes for bigger government equals less dollars for employees. Federal government excels at investing taxpayers earnings in government rat holes.

    • brain trust

      You would think that someone with a banking background like Hoeven has should understand where this country is headed with this deal, a worse bankruptcy down the road. The worse thing that would have happened with going over the fiscal cliff was the cuts to the military and then the 3% increase in our tax rates. I hope he has a good opponent next time he runs.

      The Dronecrats whine about the cuts in entitlements that would be included in the fiscal cliff. Well it is going to have to be painful to all of us if we are going to get this mountain of debt taken care of. By the time Wannebe Dictator is out of office the debt is going to be over $20 trillion. Even if interest rates rise to only 5% that is going to take $1 a year away from the revenues. This possible deal will raise about $60 billion a year, a far cry from the $1.1 trillion of deficit being adde3d because of runaway spending.

      • Dakotacyr

        Then Boehner and company should have negotiated the big deal with spending cuts and tax increases. He didn’t and now the prez wins big and will further tax revisions as well as entitlement reform done right. That’s what happens when you don’t really want to negotiate and went the my way or highway route. republicans learned a tough lessen and if not for McConnell, Reid and Senate, the fallout would be catostrophic for the
        House Rs.

        • Randy

          Neither party was honest or serious about fixing this problem. They give us nothing but Potomac double talk. If you believe either side, you are a tool.

  • mickey_moussaoui

    This Senate deal did little to change the deficit problem or defuse a crisis over raising the debt ceiling in February. Other than socking it to everyone who earns over $450 G a year I don’t see any benefit if our government doesn’t stop spending like everyone earns that much money. When you see low information voters rioting regularly on your daily TV news programs you will know that Obama’s “change” has taken hold. Austerity is in our future…thank a Democrat.

  • sbark

    I hear E.Cantor is already out against this, hopefully Boehnor also
    It isnt law yet, unless of course Obama orders the liquidation of the house if they dont vote ‘his way”…..never know

    • LastBestHope

      Obama orders the liquidation of the house

      As ESPN would say; C’MON MAN. We ain’t that far gone.

      • sbark

        I’d like to say you are 100% correct….As I sit and read about Leftist media calling for Boehnor and McConnel to be drug by a pickup thru the streets, I will never put anything past the Left

        —violence is their signiture…read history.

        Quote:”I would tie Mitch McConnell and John Boehner, our esteemed Republican leaders, to the back of a Chevy pickup truck and drag them around a parking lot until they saw the light …………..
        Des Moines Iowa liberal columnist Donald Kaul

    • Neiman

      Boehner says he’ll fall on the sword and vote for it, Cantor will not and it may cost Boehner the Speakership and he will resign from Congress the next day.

      I do not for a moment put it past Obama to declare the Congress paralyzed and dissolve it, calling for new elections. Then run it by dictate and he has been practicing.

      I say, let us go off the cliff, otherwise in 2 months Obama wins again on the debt cap.

  • Dakotacyr

    Well, then the republicans shouldn’t have walked away from the negotiating table last week. The House Rs bet the farm and lost big. And theybwon’t be In any better position over the next two months. Now that they have voted for tax Increases maybe be they will be willing to negotiate the big deal. But I think not. and they will have less R House members and less R Senators.

    • Neiman

      That is it, give in Republicans to the Democrats, forget principles or what is better for the country, surrender and be Democrats in Republican clothes. Yeah, that is a good formula for victory.

  • Tony

    This whole situation sucks big time, but who is really to blame? The politicians? They’re part of it, but it’s we the dumbass American people who vote for this stuff. Yes we need to go over the cliff and make everyone feel some real pain. That’s the only chance to fix our problems over the long term. It doesn’t matter who gets blamed or voted out. I could give a $hit less about the career or legacy of any politician. Our country is in deep kaka and drastic times call for drastic measures.

  • LibertyFargo
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