I think your correct...But then of course I'm no expert ..We are both in California so that may be the reason why others are disagreeing...California is in a recession with massive deficits and the government raised taxes which, in my opinion, means things will get worse before they get any better.

There was talk a few months ago about how the deficit might hit $1 trillion this year, more than two times the previous high.

:cool: You blame Clinton for the doubling of the national deficit in the eight years of the Bush presidency?

We'll see how that changes the deficit forecast.

The Federal budget deficit tops $1 trillion.

But, since we're at it.... let's not forget that the Bush/Republican majority contributed more to the national deficit than any other president in the history of the United States ( 8 years of continued budget deficit vs. 3 years of a budget surplus under the Clinton era) It seems like a lot of us (including myself sometimes) forget that this TARP money is actually accounted for in the Congressional budget and not just being spent at will...

Kotlikoff uses “fiscal gap,†not the accumulation of deficits, to define public debt.

Although PIMCO just launched an equity fund ...Either way the money helps fund the deficit or may help corporations borrow more, which is useful since banks can't lend (separate thread on that topic going).The velocity of money has tanked since banks aren't lending.

Perhaps he knows the crap will hit the fan sooner rather than later if the deficits aren't fixed via spending cuts or taxation.

Perfect.We have a trillion-dollar annual deficit, and we're going to recruit experts and convene panels with the hopes of saving $15 billion over three years.I better stop now.