Thursday, August 12, 2010

‘Mountain of Debt’

http://feeds.cato.org/~r/Cato-at-liberty/~3/7JRVnrsWLHs/

By Tad DeHaven

The White House Office of Management and Budget homepage currently features the following quote from the president:

President Obama says he wants to "invest in our people without leaving them a mountain of debt."

That's a curious statement because the Congressional Budget Office's analysis of the president's current budget proposal projects that publicly held debt as a share of the economy would reach levels last seen at the end of the Second World War.

When the CBO's numbers are plugged into a bar chart, the projected Obama debt levels (red bars) look like…the upward slope of a mountain (!):

To be fair, Obama's predecessors — particularly the previous Bush administration — share in the responsibility for the mountainous rise in federal debt. However, that's all the more reason for the Obama administration to work toward a peak instead of a steeper incline.




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