Whatever happened to the saying, "I'm fiscally Conservative"? The article that follows points out that only 25% of the deficit is linked to the War. Hmmm, wonder where the rest is? For the real news on how your taxes are spent and the trillions of net worth you actually have, go to: http://www.cafr1.com. Feel free to comment or e-mail: wahkonta@graffiti.net
EXCERPT BEGINS
Caveat Lector-
http://www.quicken.com/investments/news_center/story/?story=NewsStory/dowJones/20031216/ON200312161605001275.var&column=P0DEC
US Comptroller Differs With Bush On Causes Of Deficit
Tuesday, December 16, 2003 04:05 PM ET Printer-friendly version
WASHINGTON -(Dow Jones)- The current federal budget deficit isn't the result of the war with Iraq and the recession, as maintained by President George W. Bush, U.S. Comptroller General David M. Walker said Tuesday.
Walker said the deficit is a result of a structural imbalance between federal revenues and federal liabilities and a harbinger of deeper troubles to come. Walker is head of the General Accounting Office and is the federal government's highest-ranking auditor.
"We have a serious problem," said Walker, speaking at an American Institute of Certified Public Accountants meeting in Washington.
Bush has said the fiscal 2003 deficit of $374 billion and the nearly $500 billion deficit projected for 2004 are the direct result of the recession and the nation's war with Iraq.
Walker said Tuesday, "We haven't been in recession since November 2001." And, the wars with Iraq and Afghanistan plus extra federal funding for homeland security account for just 25% of the federal budget deficit.
"Just look at the facts," Walker said.
Speaking to a reporter after his speech, Walker also warned against those optimistically predicting that a booming economy will solve the nation's fiscal crisis.
"The hole is too deep to grow your way out of this problem," he said.
The current federal debt, coupled with the future value of the nation's projected liabilities to veterans, retirees and other entitlement programs add to "tens of trillions of dollars," Walker said.
If the value of the nation's federal liabilities for the next 75 years was calculated, it would amount to $150,000 for "every man, woman and child," Walker said. "And there's no paying this off with your credit card."
Walker is known for being outspoken and, while appointed by then-President Bill Clinton, has taken positions unpopular with both Democrats and Republicans at various times.
"My job is to speak truth to power," Walker said.
While Wall Street analysts generally agree with Walker's assessment, and while some investors appear concerned, interest rates so far haven't been affected.
-By John Godfrey, Dow Jones Newswires; 202-862-6601; [EMAIL PROTECTED]
Dow Jones Newswires
12-16-03 1605ET
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