Obama’s new budget outline causing shock and complaints
I’ll admit when I heard the total amount of the new budget plan, my heart skipped a beat. My first reaction was what the he**?!? Then I calmed down. I remember the President saying his new budget would include all the expenditures that had never been included in the budget, like the war costs. I also remember that a lot of other spending never made into the budget.
I don’t know how much the Fed. government spent annually over the last eight years. So many expenditures were off the books so to speak. That is, they were never counted as part of the budget. What was the total budgetary cost once all the spending was added up? Does anyone really know how much of an increase this new budget represents?
Before people start screaming over the huge jump in the budget, I think we need to find out what the previous total budgetary costs were. I once heard several previous OMB directors talk about the budget. All of them agreed that the only way to get control of the budget, the deficit, and really reduce costs was to include all the additional spending plans, include war costs, in the budget. That’s when reality sets in. It’s kind of like you have to pay cash rather than use a credit card.
I also appreciate the long term budget planning. That’s what businesses do each year. That’s what financial managers tell us to do. So, finally the Federal government is taking a long standing business practice and putting it into action. Economists and foreign affairs experts have been saying the US needs to do long term planning, bother with regards to the budget and to economics, if the US is going to compete globally in the future. China, for example, plans ahead five to ten years. Their leaders have a vision and a plan of where they want to take China and the amount of money needed to get them there. Then, they work towards that goal.
It’s time the US government did some honest, serious long term planning, starting with a real, total budget.