Economics from an expert, Mike Walker, Col. USMC (retired)
The Deficit and Recent Presidents
All,
You will hear a lot about the Federal deficit over the next few weeks. Here are some numbers:
When President Clinton handed over the reins to President Bush, the Federal deficit stood at $5.7 Trillion. President Clinton oversaw the slowest growth in the deficit in the last several decades.
Eight years later, President Bush handed President Obama a $10.3 Trillion deficit. The 9/11 attacks, wars in Iraq and Afghanistan, the added cost of creating the Department of Homeland Security, etc, all led to higher spending.
Also, in the closing months of Bush Administration the housing bubble burst, that led to the TARP bailouts for banks and GM plus bailouts for AIG, Fannie Mae and Freddie Mac. Taken together, the bailouts accounted for about $630 Billion of the $4.6 Trillion deficit increase during the eight years under President Bush.
Just under four years later, the Federal deficit stands at $16.2 Trillion.
Mike
