Obama's 2012 budget as much fiction as 2011's
Congressmen get their first look at President Obama's fiscal 2012 budget on Monday.
February 14th, 2011
10:28 AM ET

Obama's 2012 budget as much fiction as 2011's

President Barack Obama on Monday introduced his fiscal 2012 budget, a $3.7 trillion amalgamation of guesses and calculations which stands no chance of being enacted in the form the president’s bean counters put it together.

Before it gets back to Obama’s desk for a signature, the spending blueprint will go through no less than 40 congressional committees, 24 subcommittees, countless hearings and a number of floor votes in the House and Senate, CNNMoney’s Jeanne Sahadi writes.

Republicans wasted no time in letting the president know what they liked nothing. Here’s what House Speaker John Boehner said Sunday on NBC’s “Meet the Press”:

"He's going to present a budget tomorrow that's going to continue to destroy jobs by spending too much, borrowing too much, taxing too much."

Considering that all government spending originates in the House, where Boehner’s Republicans hold a 241-to-193 advantage, you can see how big a fight is ahead.

And recent history shows that all this may not mean anything. The federal government still hasn’t passed a budget for fiscal 2011, which began October 1.

The country has been paying its bills with continuing resolutions, the latest of which expires on March 4.

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Filed under: Barack Obama • Economy • Politics
soundoff (517 Responses)
  1. Hannibal7

    Obama thinks we are all so stupid. He is dead set on spending the country broke. A $1.1 trillion "cut"... over "10 years" yea right.... always on the next Presidents watch. The fact is, he has no plan to cut anything. {to cut means to reduce}He does not plan on cutting anything and he will not cut anything. His words are hollow and only staged for the media and the morons that can't think for themselves. The man is an empty suit. He takes us for fools. Look at his revenue projections... how phony can you get. The cool-aid never stops from this guy.

    February 14, 2011 at 1:28 pm | Report abuse |
  2. John T

    This country is in bigger financial crisis than most people realize. We need to eliminate our debt as quickly as possible, or there will be no wealth to redistribute. Every single one of us will be screwed, and it will happen a lot faster than people think. If a de-valued and unreliable dollar (due to massive debt) continues to cause the dollar from ceasing to be the world's default currency, demand for the dollar will plummet, we won't be able to afford even the interest payments on our debt, printing more dollars will be gasoline on the fire, and it will result in making 2008 look like a walk in the park.

    We HAVE TO eliminate our debt and reduce our budgets as quickly as possible or the "stuff" is going to hit the fan really soon. They can't just be "meaningful" reductions. They have to be painful ones.

    February 14, 2011 at 1:29 pm | Report abuse |
    • taxguy

      Completely agree. We need a period of fiscal pain. I would guess 6-8 years.

      I hate to say it, but turning around the country will not be a walk in the park. It will require hardships we have not felt in many years. The recent recession will look like a vacation. The debt will eventually crush the US. I can't wait until China owns more than half of our debt and then changes the US to "Little China."

      February 14, 2011 at 1:35 pm | Report abuse |
  3. Susan

    Okay here is the answer. We eliminate all free health insurance, benfits and pay for congress and the senate. If they want the presitige of the job let them do it for free. Someone tell me how much we would save doing that . They have a doctor that comes to the. While I who work two jobs have no health insurance at all and can't afford to buy any on my mininum wage job. We all now everything is out of wack. What things cost have gone up and up but the income of the majority of Americans has stayed the same for 30 years. Increase in costs vs income stagnet.... tax on incomes that have stayed the same.....cost of running goverment gone up. If we increase the incomes of all Americans.. more income less debt. How hard is it for people to understand cause and effect.

    February 14, 2011 at 1:29 pm | Report abuse |
  4. Jubei3

    let us not forget...it was conservative thinking which amended Cobra, which in turn allowed illegal aliens free and clear and (any unemployed transient american unable to pay for healthcare, free access to healthcare in any hospital(ronald reagan) which created the healthcare nightmare in the first place...just the facts on that one.
    Stop taxing? impossible, you and I both like our computers too much to sop taxing, we like out cars too much, we like education too much. may as well say, americans stop liking new things and go back to the way things were, when you didnt need so much stuff.. Stop spending? stop driving cars, stop eating fast food, stop doing the things that encourage all these government regulations to exist, so we dont need the saftey regulations on them.. stop giving our enemies Billions? hehe, may as well say stop spreading democracy...because nowaday, noone promotes your agenda to keep you safe without some cash!!

    February 14, 2011 at 1:31 pm | Report abuse |
  5. Mike

    It's pathetic that liberal democrats support the robbing of a family making $300,000 per year. Something tells me a family has to work its but off to bring in that kind of dough. And liberals think they're "rich". BS – they just have a slightly nicer house, and maybe a nicer car. They still worry about money and have payments to make. Liberals make it sound like they drop cash everywhere they go. Rich is getting on a Hawker 800XP and flying out for the weekend because you feel like it.

    February 14, 2011 at 1:33 pm | Report abuse |
    • Susan

      300,000.00 a year. I would be thrilled to make that in a life time. I got my education, high school, college, BS in education, masters hours and I still will never make that kind of money. What percentage of Americans make that kind of money. Please look that up for me. I don't know anybody. Working hard... how many ditches do you dig for that kind of money so I can start planning... How absurd are you.

      February 14, 2011 at 1:41 pm | Report abuse |
  6. dee

    Very clever for President Obama. Set the cuts deep, then Republicans would be force to go deeper, which will one up big fighter inside and outside of Washington. Then in the end, both side make only smaller then expect cuts.

    February 14, 2011 at 1:36 pm | Report abuse |
  7. JackInNH

    Taxes on corporations who export American jobs need to go up. I know too many people with experience/education/qualifications who are home now, watching Ravi do their job. Company ABC gets a fatter bottom line, and our unemployment goes up. Trickle down, my -

    February 14, 2011 at 1:38 pm | Report abuse |
  8. Jubei3

    Actually, Dems dont beleive that a family making 300,000 is very rich nowadays.....thats only two people making 150,000 a year and in all honesty...depending upon where you live to justify that money...it aint rich....living in tennessee yes your loaded...living in bel aire cali....your broke...and thats the point a regressive tax doesnt take into account those distinct differences. 300,00 in la and your just keeping your head above water most times.. childcare costs, car costs, mortgage, doesnt really matter what they are on, its just that they are there. COnservatives however are making a joke of the whole thing by telling you theyre on your side, and then turning around and handing out gifts that dont impact the economy.

    February 14, 2011 at 1:38 pm | Report abuse |
  9. Ken

    Do some of these people really believe themselves? The almost abject ignorance of how a free market works and the appropriate role of govermemt is the real problem with this country. We can fix the mess that is Washington, but I fear for the country if we can't turn back some of this stupidity.

    February 14, 2011 at 1:40 pm | Report abuse |
  10. AZ Dem

    Its so funny all the people railing on the Obama budget but I'm willing to bet my job that NONE of you have even read a page of the darn thing. Especially considering the fact that most of the spending the president wants to do is investment. Its crazy that President Obama is doing all he can to try and get our country back on the right track by investing in smart things like Education and Infrastructure which will create jobs and also give us that TOP spot back across the world that we LIOVE to claim but HATE to work for. Also the president HASN'T raised the debt as much as people try to portra what he DID do however was put the 2 huge wars on the budget since SOMEONE who will remain nameless decided that he could CUT taxes and start 2 unpaid wars AND on top of all that increase medicaid. You people need a SERIOUS reality check

    February 14, 2011 at 1:41 pm | Report abuse |
  11. taxguy

    Unfortunately if I was an investor and the US was a stock, I wouldn't touch it with a ten foot pole. The books are bleeding red and the debt is massive. The only positive thing on the balance sheet would be worldwide goodwill, which I am sad to say is being impaired year after year. Eventually the US will become a toxic asset.

    February 14, 2011 at 1:42 pm | Report abuse |
  12. Andrew

    would somebody let me know when the republicans propose a realistic budget that doesn't involve: drastically cutting taxes for the rich, increase taxes on poor and middle class, drastically reduces social programs for the poor, middle class, or elderly, not cutting military funding, etc.

    February 14, 2011 at 1:43 pm | Report abuse |
  13. TripleA

    The rich need to be taxed FAR more heavily than they are now. Do whatever it takes, to take it from the top 1% who have 50% of this nations’ wealth. If those people want to move out of the US…fine. Strip them of their citizenship, and seize whatever in assets are left within the reach of the US government. The middle, and lower class are not going to put up with what’s going on much longer.

    February 14, 2011 at 1:45 pm | Report abuse |
  14. Bill

    Americans should not pay taxes. We should keep 100% of what we earn. This is unfair, I should be able to keep every penny I make. No roads – not my problem. I can ride my dirt bike to work. No schools – not my problem. All these uneducated people can learn to read themselves. No police or fire department or water & sewer – Not my problem. I can get water down by the creek. Chinese takes over. Not my problem – as long as they stay off my property. We should be able to own guns. THat's how you create jobs.

    February 14, 2011 at 1:48 pm | Report abuse |
  15. GaryB

    You have to love the way Boehner criticized the budget a day before he even had a chance to glance at it. Even if Obama figured out a way to generate a budget surplus without raising taxes on Americans, they'd still find something to hate about the plan.

    February 14, 2011 at 1:49 pm | Report abuse |
    • Jack

      Gary you don't have a CLUE what is going on, here i'll explain it to you...
      -----------------------------
      This is smoke and mirrors. and anyone who thinks otherwise would buy snake oil. Our national debt before Obama came to office was 7 Trillion , that's all time. Since he came into office he has spent 3-1/2 trillion a year for a total of 7 trillion more. Now it';s up to 14 trillion. The smoke and mirrors is he wants to spend 3-1/2 trillion a year which is exactly what he is spending now. This is NOT a budget cut. Anyone other than a dumb liberal should see that. Don';t let this lying idiot fool you. Do the math, this is his way of playing Houdini with your money.

      February 14, 2011 at 2:30 pm | Report abuse |
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