August 28, 2002


10-year surplus shrinks further Democrats say tax cut to blame (Jim Drinkard, 8/28/02, USA TODAY)
The nation's 10-year budget surplus, projected at $5.6 trillion just 18 months ago, has all but disappeared because of lagging tax collections and increased spending to counter terrorism, congressional budget analysts said Tuesday.

The Congressional Budget Office (CBO) estimated that it will be 2006 before the government emerges from annual deficits, a year later than the White House projects.

For the period 2002 through 2011, the cumulative surplus would amount to just $336 billion if current spending policies continued and tax cuts expired as scheduled in 2010, the non-partisan agency said. If the tax cuts were renewed, as appears likely, the surplus would disappear.

This begs the obvious question : why are we still budgeting for a surplus during a time of war and recession? It certainly appears to be a time to get serious about returning money to the taxpayers. Posted by Orrin Judd at August 28, 2002 4:53 PM
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