This page has been archived and commenting is disabled.

U.S. Rakes Up Nearly $300 Billion Deficit In First Two Months Of Fiscal 2013

Tyler Durden's picture


To paraphrase Tim Geinter: "Risk of the Fed ever ending its monetization? No risk of that." Why? Because as the FMS just reported, the February budget deficit was $172 billion, up $52 billion from a month ago, and $35 billion from a year ago. In brief: in the first two months of Fiscal 2013, the US accumulated a $292 billion budget deficit (compared to $236 billion a year ago), a number which is simply scary when annualized. What does this mean? That as long as the Treasury runs $1+ trillion budget deficit, the Fed will never, ever be allowed to stop monetizing, especially with China and the other legacy foreign borrowers just saying nein. Which in turn means that it will now be in the Fed's favor to paint the economy with uglier colors (recall that the Fed now needs unemployment deterioration to have infinite free monetization reign). Does this mean that going over the Cliff is now an absolute certainty.



- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Wed, 12/12/2012 - 16:43 | 3057175 CClarity
CClarity's picture

"I don't want to scare people . . . " - Ben Bernanke on 12/12/12    . . . but what we're doing isn't working and we don't know what else to do!  /sarc off

Wed, 12/12/2012 - 16:49 | 3057206 stocktivity
stocktivity's picture

It's not even All Bullshit's Bullshit, Horseshit, Cowshit, Dogshit, Birdshit, Aardvarkshit.....Fuck you Bernanke!!!

Wed, 12/12/2012 - 16:54 | 3057214 vast-dom
vast-dom's picture

The Cliff was coined by Bernankzi in order to justify any and all central planning; ie direct abberant and perverted gov meddling. The Cliff meme is there for us to have something to go off of, 100%.

Wed, 12/12/2012 - 17:03 | 3057260 1eyedman
1eyedman's picture

according to wiki, august 2010 was first reference to f.c., but i dont see the term.  feb 2012 bernanke 'popularized' the term using the phrase in testimony to congress....  he invented his own cover! so clever that one

Wed, 12/12/2012 - 17:56 | 3057453 trav777
trav777's picture

This is ALL clearly George W. Busch's fault

Wed, 12/12/2012 - 18:11 | 3057491 boattrash
boattrash's picture

Damn Trav, Great to see ya back on here. I've been a bit worried that they might have had you in a camp. Take care and keep it up. Sincerely, Boattrash

Wed, 12/12/2012 - 18:26 | 3057551 economics9698
economics9698's picture

Speaking of Ben here is a great ammo site.  I love it!

Wed, 12/12/2012 - 16:52 | 3057216 CPL
CPL's picture

piece of shit?

Wed, 12/12/2012 - 17:04 | 3057237 TruthInSunshine
TruthInSunshine's picture

Today was the day that blew Joey Weisenthal's mind, Scarecrow from Batman style.

His absolute hero and idol, even more so than Paul "When Mars Attacks" Krugman, one Ben Printus Maximus Bernankus, gave "the markets" all the charlatans of fiat conjuring have got, and the 19 algo-bots that are actively trading "the markets" didn't get boners.

Wed, 12/12/2012 - 17:13 | 3057309 azzhatter
azzhatter's picture

A lot of expenses held back before the election, now time to pay the bills.

Wed, 12/12/2012 - 16:42 | 3057176 DrDinkus
DrDinkus's picture

we are going over the cliff. then barry can ride in like a white (black?) knight and save the day with lower taxes for all the american people!

Wed, 12/12/2012 - 16:47 | 3057192 EscapeKey
EscapeKey's picture

Going over the cliff?

We're Wile E Coyota, way past the edge, only thing saving us for the moment is not realizing it.

Wed, 12/12/2012 - 17:09 | 3057279 SheepDog-One
SheepDog-One's picture

'Lower taxes'? Hell we're under a 50%+ slave tax in anyones book.....and the unemployed dont need tax cuts, doesnt mean shit to them.

In reality, no ones coming to 'save the day' now, its over the cliff and say buh-bye to pensions and 401K's and all the rest which will be Corzined.

Wed, 12/12/2012 - 17:14 | 3057315 Zap Powerz
Zap Powerz's picture

So would now be a good time to cash out my 401(k) and use it to buy PMs?

Wed, 12/12/2012 - 18:02 | 3057468 Chupacabra-322
Chupacabra-322's picture

@ Zap Powerz,

Abso fucking lutely!!!  Buy PM's, guns, ammo, water and

Wed, 12/12/2012 - 18:41 | 3057595 inevitablecollapse
inevitablecollapse's picture

you know, i really have been considering this (i'm relatively young @ 33) and don't plan on leaning on a 401k only for 'retirement' - instead of racking up credit card debit (i have none) and using what small amount of cash is leftover at the end of the month for beans, bullets and bullion, why not just go all out and put that 401k to good use...

Wed, 12/12/2012 - 19:15 | 3057685 Chupacabra-322
Chupacabra-322's picture

@ inevitablecollapse,

You've answered your own dilemma with your screen name.  My advice, he who hesitates, masterbates.  Keep stacking.  You can start here.

Wed, 12/12/2012 - 16:44 | 3057181 VonManstein
VonManstein's picture

Today is gonna cause panic amongst all these Tom Demark traders (whoever that is) I follow one who is really good.. untill hes not... like today

Panic sets in things will really start moving down in an accelerated manner. QE4 Could be a major catalyst for loss of confidence in the system, a game changer.

Hold onto you seats folks

Wed, 12/12/2012 - 16:50 | 3057205 Squid Vicious
Squid Vicious's picture

don't worry they have 10 minutes left to jam the Spooz green...and probably the Dow too

Wed, 12/12/2012 - 16:56 | 3057229 lolmao500
lolmao500's picture

Get rid of the debt ceiling and that'll cause panic.

Wed, 12/12/2012 - 17:06 | 3057267 imbrbing
imbrbing's picture

I have been "hangin on to my seat" here damn long enough, white knuckle even. This won't be over till they decide so. I think I am going back to playing angry birds on my icrap :)

Do sheep know how to panic? phhht. They panic when their phone is "searching for service", but not until then. When this thing blows most the panic will be AFTER the fact. I have been

in a mild form of panic for the last 2+ years when I decided to take this seriously. I am glad I was given the time to have some for-sight here to save me from the more dangerous last minute panic.

Wed, 12/12/2012 - 16:45 | 3057183 TruthInSunshine
TruthInSunshine's picture

hmmmmm.... <rubbing beard if I had one>

Something fishy is going on....


Wed, 12/12/2012 - 16:45 | 3057184 phoolish
phoolish's picture

Over 50% Borrowed ... Go Ben Go.

Wed, 12/12/2012 - 16:45 | 3057186 Seasmoke
Seasmoke's picture

so we are now at ........very bad , is very good

Wed, 12/12/2012 - 16:46 | 3057187 Squid Vicious
Squid Vicious's picture

Hopefully there is a special place in hell reserved for Timmah...

Wed, 12/12/2012 - 16:57 | 3057234 CPL
Wed, 12/12/2012 - 17:58 | 3057446 ZeroAvatar
ZeroAvatar's picture

I guess I'll be residing in 'Naraka', then.


(I like to n'rak ' n'roll)

Wed, 12/12/2012 - 17:03 | 3057259 Timmah
Timmah's picture

Hey! What did I do??

Wed, 12/12/2012 - 17:10 | 3057290 SheepDog-One
SheepDog-One's picture

Squid, I believe the term MIT PHD's use is 'Gooderer'

Wed, 12/12/2012 - 16:46 | 3057188 Nostradamus
Nostradamus's picture

November instead of February perhaps?

Wed, 12/12/2012 - 16:49 | 3057197 BLOTTO
BLOTTO's picture

Queue in X-factor event...


Whats it going to be...

war? disease? oil spill?

earthquake? volcano? terrorist attack?

massive discovery? that alternates life as we know it?...

alien (faked) invasion?


My guess - something we cant chart, research or look on a graph.



Wed, 12/12/2012 - 16:51 | 3057212 Seasmoke
Seasmoke's picture

shutdown the internet

Wed, 12/12/2012 - 17:20 | 3057342 Zap Powerz
Zap Powerz's picture

The one variable the PTB didnt plan on was the internet and the ability for people to figure out what is being done to them.

The internet is the bane of the Elite because we use it to gain knowledge about their plans.

You nailed it when you said "shut down the internet."

The day I try to log on and there is no more internet will be the day I stop going to work, paying my bills and participating in the social contract I have been forced to participate in.  From then on its going to be survival mode.

I will miss ZH.

Wed, 12/12/2012 - 18:21 | 3057475 imbrbing
imbrbing's picture

Bingo, they never took account for the interwebs in their planning, can you imagine if all this was going on and all we had was mainstream, they would have us by the balls, OMG! I have been saying this for

years, and when I do, most if not all get a weird look on their face like....huh? And they act like if I get any info off the internet it must immediatly be dismissed, cause after all

it came from the internet. Most don't have any brains to discern. But for those that do the internet was a godsend. It took the <1% of us that care and gave us a tool.


After all the internet is just a shopping tool to by more icrap isn't it?

Wed, 12/12/2012 - 18:22 | 3057534 Zap Powerz
Zap Powerz's picture

My eyes would still be blind and my ears would still be deaf if it were not for the internet.

It's ironic that an electronic medium (the internet) that functions in 0's and 1's has liberated me from the proverbial matrix.  The internet is the red pill if you chose to take it.

Wed, 12/12/2012 - 18:33 | 3057570 Diogenes
Diogenes's picture

Ha ha ha it's the internet that is keeping everyone from going outside and doing anything. Once they got control of the net it was over. Now we all sit here doing nothing, thinking we are rebels. While the cops monitor every move we make.

Wed, 12/12/2012 - 18:01 | 3057464 ZeroAvatar
ZeroAvatar's picture

I'm thinking the earthquake/volcano percentages are pretty high.

Wed, 12/12/2012 - 16:48 | 3057198 Mad Mohel
Mad Mohel's picture

Why even bother counting anymore? Billion, trillion meh. It's like the captain of the Titanic counting how many gallons of water the ship took on.

Wed, 12/12/2012 - 17:00 | 3057247 Flatchestynerdette
Flatchestynerdette's picture

But the ship went down....


Here? We're not even acknowledging that the boat has hit an iceberg. Everyone is still dancing.  I feel like I'm the only one who is facing reality. I've seen the iceberg. I've heard the rip. Even the captain is ignoring me.


What am I to do now? We're living in unreality.

Wed, 12/12/2012 - 17:21 | 3057347 Zap Powerz
Zap Powerz's picture

What are you to do now? Forget everyone else but your loved ones and GET ON THAT MOTHERFUCKING LIFE BOAT!!!!!

Wed, 12/12/2012 - 17:30 | 3057384 centerline
centerline's picture

There aren't any lifeboats.  We are all going swimming!  And the water is looking really cold.  So, sit down and have a drink.  Enjoy the moment.  Listen to the band and get your head in order.

Wed, 12/12/2012 - 18:23 | 3057540 Zap Powerz
Zap Powerz's picture

Then I will fashion me a life boat out of the dead floating bodies in the water.

Wed, 12/12/2012 - 21:31 | 3058026 centerline
centerline's picture

That's similar to my plan!  lol.

Wed, 12/12/2012 - 16:49 | 3057200 EscapeKey
EscapeKey's picture

Perhaps they can solve it - much like Goldman Sachs a few years back - by moving the fiscal calender year 2 months forward and... oh shit, they still have to include Oct/Nov of next year...

Wed, 12/12/2012 - 16:49 | 3057203 markar
markar's picture

Cue William Banzai with Geithner & Bernacke as Thelma & Louise

Wed, 12/12/2012 - 16:50 | 3057208 youngman
youngman's picture

Bernanke   "The fiscal cliff is already having significant effect on the economy, he says, pointing to sharp declines in various sentiment measures (I, II). He blames falling markets on the cliff as well. Falling? Should D.C. fail to avert large tax hikes and spending cuts, he suggests the Fed could add to its asset purchases"

I might be reading to much into his words...old Greenspan for me....but I think he just made a Freudian slip....the falling markets he sees is before the Fed has to come in and save the day and pump it up...he sees the selling pressure...but the Fed is buying it up....keeping the markets inflated... more fake in the fake markets.......hmmmmm

Wed, 12/12/2012 - 16:51 | 3057210 Confundido
Confundido's picture

But, but...what about the 6.5% unemployment??? Bernanke just told us that if we reach that level, he will stop monetizing. And the unemployment rates has been decreasing...I am...confundido!

Wed, 12/12/2012 - 16:54 | 3057224 Flatchestynerdette
Flatchestynerdette's picture

You're not the only one. I'm getting more lost the more I read. All I want to know is WHEN are we going to slide into greece? when are the rating agencies going to down grade our debt? when is anything related to reality going to kick in?

thank you.

Wed, 12/12/2012 - 17:23 | 3057362 Zap Powerz
Zap Powerz's picture

Youre watching the wrong environmental landmarks to gain your bearings.

Stick to your map, your compass and landmarks that cant be manipulated.  Trust in your instincts.  Your instincts got you here (zero hedge) so theyre pretty good.  Just trust them.

Wed, 12/12/2012 - 18:05 | 3057480 ZeroAvatar
ZeroAvatar's picture

Yeah, as I said before, if you're out at night and get a sudden urge to hide your heat signature, TRUST YOUR INSTINCTS!

Wed, 12/12/2012 - 19:20 | 3057701 IrritableBowels
IrritableBowels's picture

My instincts tell me to get the fuck outta here while I still can.  Ecuador looks very appealing.  Too bad they use the USD...

Wed, 12/12/2012 - 16:57 | 3057235 Dr. Engali
Dr. Engali's picture

We will never reach that level. The mysterious people who disappeared from the work force will suddenly reappear again.

Wed, 12/12/2012 - 18:12 | 3057485 ZeroAvatar
ZeroAvatar's picture

Just like all the missing 'ZH'rs'  who've suddenly reappeared.  They were simply taking a 'sabbatical'.


Sort of a 'Reverse Resurrection', if you will.


(I personally took out Max Fischer, Shivus Mundane, with a shovel.  Gullyfoyle, where ya at?  )

Wed, 12/12/2012 - 16:51 | 3057211 LeisureSmith
LeisureSmith's picture

I see red numbers. Now Bernanke, can you help a guy out and shorten the halflife of Plutonium too?

Wed, 12/12/2012 - 16:53 | 3057213 Iam Yue2
Iam Yue2's picture

I think the price action says it all.

On the face of it, the news was good for gold and stocks, but the fact that they have sold off, tells you that everybody was expecting this policy.

He has done a few things, but if they are expected then they mean nothing for markets.

It confirms that markets are getting a bit complacent on policy with this, the cliff, Spain, Greece etc all assumed to be OK.

No surprise were the market to be sold off heavily over the next two weeks.

Wed, 12/12/2012 - 16:53 | 3057220 buzzsaw99
buzzsaw99's picture

now i KNOW the cliff is good

Wed, 12/12/2012 - 16:53 | 3057222 MFLTucson
MFLTucson's picture


Wed, 12/12/2012 - 16:53 | 3057223 Frastric
Frastric's picture

Does this mean that going over the Cliff is now an absolute certainty.

YES! Benny needs the economy destroyed to save his banking buddies. Expect the BLS to promptly revise its data to show a 'deteriorating' employment situation. Otherwise every tenth percent closer to 6.5% unemployment means jittery markets.

BAD really is now GOOD!

Wed, 12/12/2012 - 16:58 | 3057230 Banksters
Banksters's picture

The U.S. government has a technology, called a printing press (or today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at no cost


Dr. bernank is a fuckstick of the highest order.   


Oh yeah, he said this today.


  1. Bernanke: Borrowers can get most benefit from QE3



Wed, 12/12/2012 - 16:56 | 3057231 JoeStocks
JoeStocks's picture

$7.16 bil pulled out of equity funds last week.

Wed, 12/12/2012 - 16:57 | 3057233 kaiten
kaiten's picture

Green shoots?

Wed, 12/12/2012 - 17:00 | 3057245 Dr. Engali
Dr. Engali's picture

I thought it was interesting that one reporter openly asked the Berank about a bond bubble and the Bernank dismissed it.... Hmmmmm what happened last time he dismissed the warning signs of a bubble?

Wed, 12/12/2012 - 17:10 | 3057292 SmallerGovNow2
SmallerGovNow2's picture

"We don't see that housing is in a bubble..."

This a$$ has been wrong so many times that the only explaination of why he still has a job is he knows too damn much about the fraud(s) being perpetrated on the american sheeple......

Wed, 12/12/2012 - 17:21 | 3057350 Bawneee Fwank
Bawneee Fwank's picture

I was forwarded this...friend works for a credit union and this was sent out to the employees this morning, not sure where it came from because there was no link in the email I received.

""Good Article on what we can expect in 2013!

Mortgage rates are anticipated to remain at an all-time low for the first half of 2013, then slowly rise during the second half of the year, although they will remain below 4%, reported Freddie Mac.

On the same day that Fannie Mae released its National Housing Survey, showing increased consumer confidence in the housing industry, Freddie Mac revealed its U.S. Economic and Housing Market Outlook for December.

The housing outlook predicts what some of the market features are expected to look like in 2013.

"The last few months have brought a spate of favorable news on the U.S. housing market with construction up, more home sales, and home-value growth turning positive,” said Frank Nothaft, vice president and chief economist of Freddie Mac.

Property values are believed to continue gaining strength with most U.S. house price indexes increasing as much as 3% next year.

Housing starts are expected to jump to a net 1.20 to 1.25 million household increase in 2013, with starts up around the 1 million annualized pace by the fourth quarter.

Vacancy rates should fall significantly for both apartments and single-family homes for sale, dropping to 2002 to 2003 levels.

The 2012 refinance boom will continue into early 2013, suggesting single-family mortgage originations may decline by as much as 15%, while multifamily lending is believed to rise approximately 5%.

“This has been a big change from a year ago, when some analysts worried that the looming 'shadow inventory' would keep the housing sector mired in an economic depression. Instead, the housing market is healing, is contributing positively to GDP and is returning to its traditional role of supporting the economic recovery," said Nothaft.""


Wed, 12/12/2012 - 17:07 | 3057258 dscott8186
dscott8186's picture

Which in turn means that it will now be in the Fed's favor to paint the economy with uglier colors (recall that the Fed now needs unemployment deterioration to have infinite free monetization reign). Does this mean that going over the Cliff is now an absolute certainty.

And you say this as though that was a bad thing...


Welcome to Obamanomics where the Fed buying Treasuries with imaginary ones and zeros.  Don't you get it yet?  Obama and his Democrat cohort is taking us to the ultimate Keynesian solution.  The government is the prime driver of the economy, the government can stimulate the economy via it's consumption spending indefinitely.  As a sovereign, it can create money out of whole clothe to buy whatever it wishes and you rubes will accept that money or starve.

You are all slaves.

When every foreigner realizes that the Dollar is for all intents and purposes worth zero outside of the US, all foreign purchases of Treasuries will stop.  Meaning the Fed will purchase all Treasuries, especially on the secondary market.  

Coinciding with that stop in Treasury purchases and dumping on the secondary market, the foreigners holding Dollars will begin purchasing US goods in an attempt to repatriate their earnings, watch for exports to increase magically.  Most of the oil exporting countries will move to denominate oil purchases in gold to stabilize the world's economies.  Then you all will worship Obama as a genius and savior of the US for making the economy appear to flourish.

Once the repatriation is over and all US dollars have come back to the US, then we are effectively isolated from the world in a closed economy and so Obama and his hoard of minions will rule the US like a fiefdom just like every other elite does with their country.  

/deadly serious/

Wed, 12/12/2012 - 18:16 | 3057509 blunderdog
blunderdog's picture

    Once the repatriation is over and all US dollars have come back to the US,

That's silly.  There are WAYYYYYY too many dollars for them to come back to the US.

What you're describing would be that "hyperinflation" stage everyone's been predicting for 4 years.  I don't think it's coming.

Wed, 12/12/2012 - 17:04 | 3057262 tmosley
tmosley's picture


Wed, 12/12/2012 - 17:13 | 3057306 dscott8186
dscott8186's picture

Move to Chile or Canada, buy foreign stock funds.  Otherwise enjoy the ride by buying hard goods and stocking up on canned food.  Zimbabwe here we come.

Wed, 12/12/2012 - 18:04 | 3057473 BraveSirRobin
BraveSirRobin's picture

Oh come on. The anualized deficit is only $1.7 trillion, and 1.7 is a very small number, not like say, $100 million. $100 is a much larger number than 1.7, but still not that large.

Wed, 12/12/2012 - 17:05 | 3057265 LawsofPhysics
LawsofPhysics's picture

Yes, lovely.  The best part is that The Federal Reserve wants you to pay them back in currency that they are devaluing.    Ben very clearly kicked the ball to the politico, so as to divert attention.  I wonder if the politico has figured out that it is their heads Ben is trying to offer up.  Interesting times indeed.

Wed, 12/12/2012 - 18:07 | 3057481 BraveSirRobin
BraveSirRobin's picture

Actually, I bet they will want to get paid back in gold, silver, and land. When that runs out, they will be paid back with your labor to build the camp housing and harvest the rice crop.

Wed, 12/12/2012 - 18:10 | 3057489 BraveSirRobin
BraveSirRobin's picture

Oh, and if you have not heard, the head of the Obama jobs council has just proffered authoritarianism and crony-capitalism and the preferred model for the future.

Wed, 12/12/2012 - 17:08 | 3057275 TonyCoitus
TonyCoitus's picture

How many fried Twinkies can the Fed eat before it implodes?


Wed, 12/12/2012 - 17:10 | 3057287 game theory
game theory's picture

The winners in any counterfeiting scheme are the ones who receive the money this case, gov't employees and their confederates (contractors, etc). The debt will continue to get worse through 2015 because there is absolutely no way to stop this looting.  

Wed, 12/12/2012 - 17:16 | 3057320 NEOSERF
NEOSERF's picture

We won't go over the cliff at least that any Joe on the street can figure.  The headlines will shriek "Cliff Averted" and the market will head towards 14K.  Meanwhile Joe will clock in at his Ford F150 assembly plant and work himself 6% poorer this year, especially when the plant is idled soon for channel stuffing.  The cliff was years ago and we it is just a slow bleed at the bottom of the cliff as we run up $1.5T annual deficits and watch our "leaders" dither.


Wed, 12/12/2012 - 17:18 | 3057333 Village Smithy
Village Smithy's picture

I don't think that even Ben believed that he could print this much money and not have the dollar completly crash and gold go parabolic. Now I am certain that he believes that with the dollar continuing to show this kind of relative strength he can get away with printing enough money to buy all our debt back from the private market. Then he will be a hero and may even receive a Nobel prize.

Wed, 12/12/2012 - 17:20 | 3057348 cosmyccowboy
cosmyccowboy's picture

we have been over the cliff for a long time, we just haven't hiw bottom yet!

Wed, 12/12/2012 - 17:37 | 3057398 mayhem_korner
mayhem_korner's picture



Looks like healthy YOY growth to me...

Wed, 12/12/2012 - 17:49 | 3057427 pupton
pupton's picture

Uhh, did Tyler make a mistake:

"Because as the FMS just reported, the February budget deficit was $172 billion, up $52 billion from a month ago, and $35 billion from a year ago."

Pretty damn sure you mean November.  The numbers on the chart reflect that.  Someone probably saw "second month of fiscal 13" and thought of Feb as the second month...

Either way, we're all fucked, buy silver!!!

Wed, 12/12/2012 - 18:01 | 3057462 BraveSirRobin
BraveSirRobin's picture

Don't worry, the net worth of the United States is in the vicinity of $58 trillion. We have plenty of money to pay this off. A one time wealth tax of $16.5 trillion on the wealthy would set the debt clock back to zero. We would not be back to $16.5 trillion in debt for at least another 4, maybe 5 years.

Wed, 12/12/2012 - 18:12 | 3057501 eaglerock
eaglerock's picture

In a few years we'll be able to visit the Samsung Grand Canyon, then hop on over to the People's Republic Hoover Dam.

Wed, 12/12/2012 - 18:25 | 3057546 ZeroAvatar
ZeroAvatar's picture

I look forward to seeing lady liberty, the Statue of Tobolsk.

Wed, 12/12/2012 - 18:56 | 3057648 Lucius Corneliu...
Lucius Cornelius Sulla's picture


Wed, 12/12/2012 - 19:32 | 3057726 IridiumRebel
IridiumRebel's picture

FUCK YEAH!!!!!!!! Let's hit a fucking trillion a month. ALL IN BITCHEZ!!!!!!!!!

Wed, 12/12/2012 - 19:51 | 3057772 sbenard
sbenard's picture

At this pace, we'll hit a new record deficit in the 2013 FY. The math implies a deficit of more than $1.75 trillion. It will be even worse than that, because we are on the verge of a new recession.

By the end of this decade, we'll be paying more than $1 trillion/year in interest on our debt. That's more than half of all income tax revenues. We'll hit a debt brick wall long before that!

There is no way to avoid a calamity. Plan on it!

Wed, 12/12/2012 - 19:58 | 3057792 WhiteNight123129
WhiteNight123129's picture


Wed, 12/12/2012 - 20:17 | 3057842 nate
nate's picture

"the February budget deficit was $172 billion"

Hello, didn't anybody catch this? Am I the smartest person in the room?  Scary thought.

Indeed the deficit for the second month of the fiscal year was $172 billion, but the fiscal year begins in October.  What you meant to say was: "the November budget deficit was $172 billion". 

How could you possibly mistake February for November?  How did nobody else see this? 

Update: I see one other person caught the mistake.

Do NOT follow this link or you will be banned from the site!