I thought Bush's tax cut would increase the deficit?
NOT!
Just like when Reagan did it the revenues increase when taxes are cut.
I just do not understand why the Dems cannot grasp this basic economic fact.
We are still increasing spending at an alarming rate but at least the revenues are increasing faster than they can spend it.
So what does Pelosi and her gang suggest?
Thats right, reverse the tax cuts that are fueling the increase in revenues!
WASHINGTON (AP) -- The federal deficit has improved significantly in the first three months of the new budget year, helped by a continued surge in tax revenues.
In its monthly budget report, the Treasury Department said Friday that the deficit from October through December totaled $80.4 billion, the smallest imbalance for the first three months of a budget year since The budget year ends Sept. 30.
Tax collections are running 8.2 percent higher than a year ago while government spending is up by just 0.7 percent from a year ago. Last year's spending totals were boosted by significant payments to help the victims of the Gulf Coast hurricanes.