Chart of the Day

For indispensable reporting on the coronavirus crisis, the election, and more, subscribe to the Mother Jones Daily newsletter.

OK, it’s not really a chart.  It’s a table.  But it comes from CBPP and it takes a closer look at the recent headlines screaming that deficit projections have risen from $7 trillion to $9 trillion.  Long story short, it’s not true.

Here’s why.  The lower number is from the CBO and relies on its “baseline” budget calculation.  This is an estimate of what would happen if current law remains unchanged forever, and as such it bears little resemblance to reality.  In reality, the Bush tax cuts aren’t going to disappear in 2011, Medicare reimbursements aren’t going to be suddenly slashed, and the Alternative Minimum Tax won’t be left alone to gobble up ever more income.  As usual, the law will be changed to take care of all these things, just like it is every year.

So if you take a look at what the deficit would be under current real-life policies, and compare it to estimates under Obama’s proposed policies, what do you get?  As the table below shows, the real-life deficit isn’t $7 trillion, it’s more like $11 trillion.  And the Obama deficit isn’t $9 trillion, it’s about $10.5 trillion once adjustments are made so that it can be compared to CBO estimates on an apples-to-apples basis.  So the bottom line is simple: properly accounted for, the deficit actually goes down when you compare Obama’s budget proposals to current policy, not up.

All the grisly details are here.  Warning: not for the faint of heart.

DOES IT FEEL LIKE POLITICS IS AT A BREAKING POINT?

Headshot of Editor in Chief of Mother Jones, Clara Jeffery

It sure feels that way to me, and here at Mother Jones, we’ve been thinking a lot about what journalism needs to do differently, and how we can have the biggest impact.

We kept coming back to one word: corruption. Democracy and the rule of law being undermined by those with wealth and power for their own gain. So we're launching an ambitious Mother Jones Corruption Project to do deep, time-intensive reporting on systemic corruption, and asking the MoJo community to help crowdfund it.

We aim to hire, build a team, and give them the time and space needed to understand how we got here and how we might get out. We want to dig into the forces and decisions that have allowed massive conflicts of interest, influence peddling, and win-at-all-costs politics to flourish.

It's unlike anything we've done, and we have seed funding to get started, but we're looking to raise $500,000 from readers by July when we'll be making key budgeting decisions—and the more resources we have by then, the deeper we can dig. If our plan sounds good to you, please help kickstart it with a tax-deductible donation today.

Thanks for reading—whether or not you can pitch in today, or ever, I'm glad you're with us.

Signed by Clara Jeffery

Clara Jeffery, Editor-in-Chief

payment methods

We Recommend

Latest