When the White House’s Office of Management and Budget released its 2017 federal budget – which included 10-year projections – groups such as the Washington based non-profit Committee for a Responsible Federal Budget FALSELY heaped praise on the Obama administration for shrinking the deficit and stabilizing the debt.
As WND reported, in its “Analysis of the President’s FY 2017 Budget” published Feb. 9, 2016, the CRFB concluded that by “reducing Medicare cost growth, reforming the immigration system, and enacting a large number of tax increases, the President’s budget would not only pay for his new initiatives, but reduce projected deficits in order to stabilize the debt as a share of the economy.”
However, a close examination of the proposed budget reveals the Obama administration is attempting to hide the full impact of its increased spending by employing deceptively low interest-rate assumptions that mask potentially trillions of dollars in interest on the growing federal debt that will have to be paid in the coming decade.
President Obama’s current spending agreement with Congress suspends the nation’s debt limit, allowing the U.S. Treasury to add another $1.7 trillion to the national debt by the end of his second term on Jan. 20, 2017. It’s projected that by that time the national debt will reach $20 trillion, which means it will have doubled during Obama’s two terms in office.
According to the Congressional Budget Office, Obama’s fiscal year 2017 budget projects that by 2026, the national debt will grow by nearly another $10 trillion to nearly $30 trillion, a number also likely understated by the historically low interest-rate assumptions the OMB used in preparing the 2017 federal budget.