U.S. To Run First Budget Surplus Since 2008: CBO

[bigtree]

WASHINGTON (MarketWatch) — The U.S. government recorded a budget surplus of $58 billion in April, the Congressional Budget Office estimated on Monday, breaking a streak of deficits that began in 2008.

The surplus — the first of Barack Obama’s presidency — was the result of both increased tax collection and lower government spending. Before April, the government had not run a surplus since September 2008, the month that the financial crisis struck the U.S. economy.

CBO estimated that receipts were $30 billion higher in April than the same month a year ago, due to declining refunds that month and higher corporate income tax receipts. Spending fell by $69 billion compared to April 2011, marked by lower outlays on defense, Medicaid and the Postal Service.

For the first seven months of the fiscal year, the CBO estimates that the Treasury will notch a deficit of $721 billion. That’s $149 billion less than the red ink reported for the same period in fiscal 2011.


read: http://www.marketwatch.com/story/us-to-run-first-surplus-since-2008-cbo-2012-05-07?reflink=MW_news_stmp

read CBO report: http://www.cbo.gov/sites/default/files/cbofiles/attachments/2012_04_MBR.pdf

[1StrongBlackMan]

1. So ...

How will this be spun?

[Bennyboy]

7. It will be spun thusly:

See, enough taxes are already being paid.

[1StrongBlackMan]

12. And the Democratic response ...

"Wow ... Since the deficit/National Debt is all important ... Imagine how much we could do if the wealthy were to pay what they paid under Reagan?"

[freshwest]

2. Uh, thought we had to throw everyone under the bus this year. Wazzup, Ryan & Romney?

And we're broke and the sky is falling in.

We have to get rid of any government agency that tells us anything different than mainstream media.

Or the world will end.



Honestly, something is wrong with this story because it flies against the meme that we've been hearing for... forever.

[cynatnite]

3. But, but...the republicans said the sky was falling! n/t

[TheWraith]

4. I can't stop laughing.

So much for Obama supposedly spending us into the ground.

[gratuitous]

5. Oh, a surplus for a month

I was going to say, I didn't think Chimpy produced a balanced annual accounting except the year he inherited from Clinton. A monthly surplus is good news, but it doesn't quite qualify as a surplus for an entire year.

How will this be spun? Pretty easily, if I'm any observer of the usual antics from our Fourth Estate. First, they'll yip about Bush's inaugural year surplus, and how come it took Obama so long to produce a monthly surplus? Second, they'll claim that it shows that austerity works, as the CBO credits reduced government spending and greater corporate revenues (Supply side economics!).

[liberal N proud]

10. The austerity claim is the most worrisome

[DCBob]

20. The austerity measures were minimal impact.

The biggest factor was increase in tax revenues due to increased business activity and improvement in employment.

[Bok_Tukalo]

6. How will it be spun?

The month is April.

[Auntie Bush]

8. Bet they don't report this on Fox news. Those that need to hear it never will.

[LynneSin]

11. They will but they'll find a way to attribute it to Bush

Something like 'it takes 10 years for a budget's benefits to take place.

[tabbycat31]

9. this needs to get out because the media will not cover it

I put it on Americans Against the Tea Party's facebook page and hopefully they share.

[Mason Dixon]

13. do I understand correctly

The Fed Govt spent less this year than last year (for month of April) and collected more this year than last, so those numbers figure a surplus

yet,

this year's budget has a 1 trillion dollar deficit

???

[hughee99]

15. It spent less in APRIL this year than last year.

and the month it ran the surplus is the month in which people who withheld too much all ended up sending $$ to the IRS to make up the difference. The drop in spending and the additional revenue were both necessary to run this monthly surplus, but we can't guarantee that next month spending will still be down this much, and those IRS checks for underpayment only come in these quantities once a year. It's certainly better than not running a surplus over the month, but I wouldn't hold my breath on it happening again in May.

[Mason Dixon]

18. Based on this math

I wouldn't count on it for any month other than April.

Until at least half the unemployed and under-employed find work.

[hughee99]

19. I think that's a safe bet. n/t

[DCBob]

21. No you dont.. its a "true surplus".

From the CBO report..

For the Month of April ($ Billions)
=====================
Receipts: 319
Outlays: 261
Surplus/Deficit: +58

http://www.cbo.gov/sites/default/files/cbofiles/attachments/2012_04_MBR.pdf

[FarCenter]

14. Sounds like a lot of people wound up owing taxes in April, rather than getting refunds?

Maybe they pared back the withholding rates too much in an attempt to stimulate the economy last year?

[Dawson Leery]

16. The only "surplus" under Bush Jrs. reign belonged to Clinton.

[Fumesucker]

17. AUSTERITY IS WORKING!!! WE NEED MOAR AUSTERITY!!

[PoliticAverse]

22. Total US debt: March 31: 15,582,078,681,188.69 May 1: 15,673,229,738,379.98 +91,151,057,191.29

( From: http://www.treasurydirect.gov/NP/NPGateway )

----------- Held by Public ---------- Intragovernmental ------Total
03/30/2012 10,846,824,546,943.15 4,735,254,134,245.54 15,582,078,681,188.69
04/02/2012 10,883,217,233,063.87 4,737,108,765,340.09 15,620,325,998,403.96
04/03/2012 10,885,892,840,514.66 4,730,953,734,424.54 15,616,846,574,939.20
04/04/2012 10,886,893,993,272.96 4,730,828,550,805.99 15,617,722,544,078.95
04/05/2012 10,884,566,084,027.55 4,735,174,086,380.79 15,619,740,170,408.34
04/06/2012 10,884,645,947,631.29 4,733,994,331,951.64 15,618,640,279,582.93
04/09/2012 10,884,773,109,942.45 4,736,672,624,190.38 15,621,445,734,132.83
04/10/2012 10,885,339,078,286.01 4,741,493,518,408.95 15,626,832,596,694.96
04/11/2012 10,886,106,101,181.97 4,731,981,942,323.66 15,618,088,043,505.63
04/12/2012 10,880,527,647,709.21 4,734,467,120,134.11 15,614,994,767,843.32
04/13/2012 10,880,890,738,953.68 4,734,835,298,368.98 15,615,726,037,322.66
04/16/2012 10,903,326,597,003.36 4,751,311,928,394.28 15,654,638,525,397.64
04/17/2012 10,903,987,805,036.21 4,757,586,427,562.61 15,661,574,232,598.82
04/18/2012 10,905,376,996,162.03 4,755,359,667,725.93 15,660,736,663,887.96
04/19/2012 10,857,988,065,192.96 4,757,602,909,829.41 15,615,590,975,022.37
04/20/2012 10,858,146,916,544.62 4,759,211,613,825.31 15,617,358,530,369.93
04/23/2012 10,858,204,873,838.22 4,761,969,175,722.01 15,620,174,049,560.23
04/24/2012 10,859,176,801,419.86 4,769,089,697,288.18 15,628,266,498,708.04
04/25/2012 10,860,722,926,433.74 4,762,562,602,020.67 15,623,285,528,454.41
04/26/2012 10,859,267,672,675.69 4,765,079,937,801.18 15,624,347,610,476.87
04/27/2012 10,859,635,596,261.41 4,764,061,611,155.98 15,623,697,207,417.39
04/30/2012 10,916,070,898,102.68 4,776,297,169,202.55 15,692,368,067,305.23
05/01/2012 10,910,025,382,723.66 4,763,204,355,656.32 15,673,229,738,379.98