US Deficit shrinks $1 Trillion under POTUS Leadership. : ThyBlackMan

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US Deficit shrinks $1 Trillion under POTUS Leadership.

June 28, 2016 by  
Filed under Business, Money, News, Opinion, Weekly Columns

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(ThyBlackMan.com) (This Feat Has Never Been Achieved Hitherto)

In order to appreciate the information contained herein, one must understand “the fiscal year” , which refers to any yearly period without regard to the calendar year, at the end of which a firm, government, etc., determines its financial condition. That period of time which concluded on September 30 showed a reduction in the budget deficit of $439 million, revealing a $44 billion or 9% decrease in deficit relative to last year. The shortfall is the lowest under the watch of President Barack Obama, and the least recorded since 2007, both as a proportion of gross domestic product or in terms of dollars.

Not long ago, the United States political climate was awash with talk about a budget deficit. The Tea Party was quickly gaining converts to their ideology, and conservatives staged protests to convey their displeasure with President Barack Obama and his fellow Democrats for failing to address the ever increasing financial budget deficit.

Republicans in Congress reacted to this with even more detriment, using their positions to limit President Obama’s authority. In 2013, Sen. Rand Paul (R-Ky.) was interrogated about the radical nature of his political ideology of libertarian; his reply was that “I consider a yearly deficit of $3 trillion to be extremist.” Concurrently, Eric Cantor (R-Va.), the then House Majority Leader, advocated that Congress concentrate on dealing with the mounting deficit as the key issue.

The Republican position couldn’t be farther from the truth- the deficit is mostly due to outside factors, and is steadily shrinking. According to the Treasury Department statement last week, an upward trend in personal tax collection has led the U.S deficit to its lowest point under the watch of President Barack Obama and confirms his strong leadership in a time of uncertainty and volatilities in the markets.

Under the leadership of President Obama, the deficit has contracted (shrunk) by $1 trillion dollars. In terms of its size as a proportion of the economy, the deficits have been reduced to 2.5%, which is less than the average from the past 50 years, and significantly lower than the 9.8% President Obama inherited when he assumed leadership as POTUS.

The rhetoric has gotten worse for those not taking a serious look at the misinformation campaign on the political Right. Many Americans are definitely certain – courtesy of the disingenuous Republican grandiloquence and unfortunate publicity by the media – that the deficit rose under President Obama’s leadership. Towards the end of last year, a poll conducted by Bloomberg Politics revealed that about 73% of the American populace were of the notion that the deficit grew in the past six years…not true!.

The previous year, Bloomberg had discovered that about 6% of the public was aware that the deficit was contracting. It’s a pointer in the reason why President Obama hasn’t been praised for diminishing the deficit, which appears like the kind of achievement that should be worthy of commendation by the Tea Partiers and Congress.

The reason this misinformation campaign matters is because it influences the politics of our country.  If Americans wrongly presume that the deficit is rising, voters might be predisposed to voting for candidates who propose cutting public investments and defund social-insurance programs – which will impact the everyday lives of Americans, specifically, African Americans and other people of color..

Currently, the African American community is being transformed.  The Negro Family: The Case for National Action (known as the Moynihan Report, 1965) was written by Daniel Patrick Moynihan, an American sociologist serving as Assistant Secretary of Labour under President Lyndon B. Johnson. In 1976, Moynihan was elected to the first of several terms as US senator from New York and continued to support liberal programs to try to end poverty. His report focused on the deep roots of black poverty in the United States and controversially concluded, some would say, that the high rate of families headed by single mothers would greatly hinder the progress of blacks toward economic and political equality. The upswing in the economy is therefore essential for black progress in this era of American  growth and development.

Any fiscal cost-effective discussion should be based on facts, not mere aberrations. As an economics major, this writer would say, the fact of the matter is that we are experiencing a decline in the budget deficit that is indeed outstanding for all Americans; without regard to political ideology. Every criticism by the conservative right, as it regards irresponsibility and fiscal rashness by President Obama’s impressive leadership, is preposterous if not downright absurd. Sen Moynihan was probably best known for a timeless comment that is perfectly appropriate to refute GOP stalwarts who pushback on the fruitful economic policies of President Barack Obama: You are entitled to your opinion. But you are not entitled to your own facts.

Staff Writer; Stanley G. Buford

Feel free to connect with this brother via Twitter; Stanley G. and also facebook http://www.facebook.com/sgbuford.


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