US Posts Biggest March Budget Deficit In History, Or How The ???? Chart Became The ????+? Chart

Tyler Durden's picture

Following the all time record high February budget deficit of $232 billion, the US March budget deficit number is in, and in addition to being bigger than expected, coming at $198.2 billion on expectations of "only" $196 billion, the government outlay in the past month also is the largest March deficit on record. This brings the total deficit in fiscal 2012 to $779 billion, which is to be expected for a country gripped in total political chaos and which is unable to either raise revenues or lower spending. What is more disturbing is that over the same period (Oct 1 2011 - March 31, 2012), the US government issued $792 billion in debt, a trend that will continue. What is most disturbing is that the comparable tax revenues net of refunds, "matching" this increase in deficit and spending, are only $693 billion, in other words the US government is funding well more than half of its cash needs with debt rather than with tax revenue. Just like Japan.

The chart below speaks for itself...

as does the longer term chart.

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Gubbmint Cheese's picture

Drinks for everyone.. just put it on my tab!

Stoploss's picture

Look at the left axis of that lower fred chart. You will notice a higher frequency of recessions. This time is not different.

idea_hamster's picture

Look at the FRED chart and identify the minute blip that was WWII.  

Someone should can the ZIRPetrator-in-Chief.

NotApplicable's picture

So much for the First Rule of Holes.

These fuckers just keep borrowing bigger shovels.

mliu_01's picture

Don't worry, O still has 6 months to cut deficit in half as he promised a couple of years ago. He must have a big pile of gold that he hide somewhere and he is ready to sell those.

NotApplicable's picture

So... what you're saying is... they're going to redefine deficit. Or spending. Or both.

IrritableBowels's picture

Looks like this 'started' around 1973ish... Wonder what happened then???????????????????????????????????????????????????????

derek_vineyard's picture

started with a few casual joints.........now we are running on 100% pure hopium

Yardfarmer's picture

The Nixon Shock was a series of economic measures taken by U.S. President Richard Nixon in 1971 including unilaterally cancelling the direct convertibility of the United States dollar to gold that essentially ended the existing Bretton Woods system of international financial exchange. wikipedia

Burr's 2nd Shot's picture

"Spend" has already been changed to "Invest", such as, "I invested all your money in green energy, infrastructure, education, etc."

"Deficit" is a little trickier, but I suspect something like "Pre-Revenue" will get the nod.

"This year's budget includes investments in necessary, common sense projects, and is fully funded by applying our vast stores of pre-revenue."

rwe2late's picture

NotApplicable

Since the debt will never be fully repaid (by "worth less" fiat currency) , the word "borrowing" is not applicable.

Instead, more accurately, over half US Gov't spending is based on Ponzi fraud and the petrodollar extortion racket.

Dr. Engali's picture

If the amount of debt is relative to the amount of people killed then we are in for a doosy.

derek_vineyard's picture

do we have enough dignity to pull a japan and suck up our own woes by monetizing the debt amongst the USA citizens?

or does USA pursue WW3 to maintain its standard of living?

 

its that simple

Matt's picture

I, for one, fully expect the average American consumer to do their part and use their savings to buy US treasuries, as that is the patriotic thing to do during a time of crisis.

What's that, they don't have savings? Oh ...

donsluck's picture

Um, didn't WWII LOWER the standard of living? Weren't there shortages, rationing, etc?

Cadavre's picture

So that explains today's early action meltup!

RHT jumped 10 bucks (20%) a couple of days back. In fact while MSFT and ORCL are less than 30% above their 1 Yr low, AAPL and RHT have almost doubled from their lows.

hmmmm .... whats going on in the BCP world ....

Colombian Gringo's picture

My recommendation for immediate economic stimulation would be to repeal the income tax. Since the FED can print anything, and there are no inflationary effects (so the Keynesian's tell us), why do we need the tax, anyways? Let's just threaten the rest of the world, and they will pay us to get lost.

Widowmaker's picture

Not gonna happen.  Taxes are in the fascist's toolset.

How else can you make anyone on the planet a criminal whenever the need so pleases?

JLee2027's picture

It's a control issue, yes. It does raise an interesting question though. Reword: Why tax at all when you can print money at will ?

IrritableBowels's picture

Subservience. Now get back to work.

Hobbleknee's picture

Same reason they let us know DHS ordered more ammo than the military.

holdingontomypants's picture

I don't write much on here but I have to throw my deflated 2 cents worth on here.

You bring about a valid question that nobody in power seems to be asking, at least not publically in an election year. If we can just print our way out and it doesn't cause inflation the why the heck do the 51% of the people who do pay taxes have to do so. Aren't we entiltled to enjy some of this printed non-inflationary money also?

I just sent in my non-inflated tax payment so why don't they just send it back. I have to work and produce something to get a fiat dollar and they just have to ink the machine and print theirs. Where is the justice in that?

Oh yeah, and the ECB money swaps, lol..what a joke...here Benny..take my freshly printed uninflated euros and trade it to me for your freshly printed uninflated dollars...nobody will be the wiser and we can keep this charade going.

I ain't a money guy.no degree in finance..no banker background...I am just a working stiff who is trying to hold on to his middle class status which is quickly slipping away. Guess its ok for us middle class working stiffs to sell what assets we do have left so the banking cartel and the elites can enjoy their riches. 

I got news for you Obama...your puppets can spew all the garbage they want about no inflation and crap but we ain't stupid..we live in the real world and see and feel it first hand...of course you don't see any inflation you idiot..you live in the Whitehouse where you don't have any bills to pay and Benny just prints what you need to have your multiple vacations to exotic places...

This will blow up...not if...not maybe...it will..printing to 100% of GDP and beyond is a guaranteed implosion....and only way out is hyper inflation on the backs of the working people...just disgusting.

Ok...I am off my soap box and back to trying to keep my life together...

 

Matt's picture

They have to make people pay taxes so that people who are productive use Dollars.

If you didn't have to pay taxes in Dollars, you wouldn't need to use dollars, you would be free to use something else, like silver, gold, bitcoins, or whatever you wanted.

If people didn't use dollars, there would be no demand for them, so they would be worthless.

debtandtaxes's picture

It lands you in jail to not pay income tax. So I do.

But at least I can deny them sales tax revenues - which in Ontario is 13% on anything but groceries. Yes, you read right - 13%!!

So I try to barter, buy it used, or buy "cash under the table."

F 'em. There are ways.... And it only helps us prepare for the inevitable fall to have such networks in place.

holdingontomypants's picture

I live in Arizona and when I did my state taxes they had a new question requiring an answer. It asked if you purchased anything out of state online or by other means that you did not pay Arizona state sales tax on. Then it goes on further to say that it is called a USE TAX and not a SALES TAX and they want you to put the total dollar amount down so they can assess this tax against you. The other choice you could answer was you made no purchases out of state during the tax year. Guess what I answered...

The various States are getting so desparate for money they are looking for every possible penny they can get you to pay and coming up with all kinds of schemes. Guess next they wil come up with a toilet flush use tax and I will have to account for all the flushes I had in my home during the year.

Buckaroo Banzai's picture

The correct argument for repealing the income tax on natural persons is that the 13th Amendment outlaws involuntary servitude... which is what income taxes on natural persons is. Your labor benefits a third party (the master) before it benefits yourself (the slave).

Logically you would think that since interest rates are almost zero %, and income taxes are not even making a dent in our annual deficits, that we should just print all the money we need. But, income taxes are a critical part of the control system. They cannot repeal them because slavery is not just an economic condition, it is a psychological condition. They NEED you to work for them; it breaks your spirit and helps them play the mind games necessary to dominate you. If your labor benefited only yourself, then all of a sudden you might start thinking for yourself as well.

You have to learn how to think like these sick, malevolent bastards. Only then can you hope to defeat them.

pods's picture

About sums it up BB.  Bravo!

As an aside, we are looking for a short stop for our new FEMA team, whatcha say?

pods

JLee2027's picture

Interesting. Then that would apply to Child Support (a conjured "debt" where none exists) as well. Yes you have a duty to support the child, but HOW is up to you...not the Government.

The correct argument for repealing the income tax on natural persons is that the 13th Amendment outlaws involuntary servitude... which is what income taxes on natural persons is. Your labor benefits a third party (the master) before it benefits yourself (the slave).

 

Moe Howard's picture

Exactly. Now grok this: You can go to prison if you don't pay court ordered child support.

Wouldn't that be debtor's prison, something I thought the USofA got rid of a couple of centuries ago?

debtandtaxes's picture

It certainly is a debtor's prison - and we have it in Canada, too! Oh, and if you think your kids are your own to raise as you like, you haven't seen what the CAS *really* does to families. Ask an aboriginal person someday if you're curious.

JLee2027's picture

Technically, they call it "Contempt of Court" for refusal to obey court orders. It just end runs the real issue.

What people have to realize is the Government has no power to force you into a public custody agreement where Judges grab control and put people into their "system" - so the Judges, Social Workers and Court parasites have work, the lawyers get to charge huge fees, and you get put into legalized slavery for years if not decades. No Family Law attorney will easily admit it, but a private agreement between the parties, keeping things forever out of court is possible (a phrase like "this agreement cannot be changed or altered by any court" - see a competant lawyer).  Every "rule", "law", "ruling", etc will try to tell people differently - but I am telling you the truth. You can remove those parasites as long as both parties are willing.  

What CAS or your local Social Workers do to families is filled with evil.  They work for the sytem, not the children. Enough said.

Matt's picture

Pretty sure they abolished the 13th amendment when they enabled the government to "employ without compensation" people with "extrordinary skills and experience"

National Defense Resource Preparedness sec. 502 although it doesn't specifically mention if the persons to be employed must be voluntary or not, so until it happens, can't be certain.

http://www.whitehouse.gov/the-press-office/2012/03/16/executive-order-national-defense-resources-preparedness

Dexter Morgan's picture

You are correct in your reasoning.  However, the way the IRS rationalizes it is they claim the tax is an "indirect tax" on your income, not a "direct tax" on you.  Therefore you aren't a slave.  Isn't that nice?  Black = White.  Constitutionally, direct taxes have to be apportioned by the census and indirect taxes have to be uniform. 

Bottom line is the entire system is obviously so corrupt at this point that they can do whatever they want and justify it with doublespeak.  And there are no consequences for their malevolent actions.  Helluva gig if you can get it.

Elwood P Suggins's picture

Gosh I sure hope another Tea Party comes along.  Then we'll be borrowing 100%.  Personally I'm surprised anyone gives a shit anymore.  I don't.

LowProfile's picture

It would be better if they just dissolved the IRS and abandoned all taxation in lieu of printing to pay for the goobermint.

It would bring a quicker conclusion to this Potemkin recovery.

Dr. Engali's picture

If they did that then they would do away with the illusion that the system is legit.

Buckaroo Banzai's picture

Don't be a dick. The Tea Party is first and foremost about slashing government spending-- not just slashing taxes.

That insane fucker Obama is all about spending, that's where his votes come from.

TruthInSunshine's picture

You're saying, in this post and your prior ones, that human labor is being confiscated by the state (I think we'd both agree it's really the fractional reserve banking racketeering syndicate that's getting the state to effectuate the theft, actually) to benefit the Crony [anti]Capitalists (aka Club Socialists).

I agree.

But let's not make this the Kabuki Theater, false left-right paradigm in terms of politics that the deceivers wish to keep perpetuating, ostensibly suggesting that Americans really have any means of altering their situation at the voting booth, because that's not true, and in fact, both alleged 'different' political parties in the USSA are bought and paid for by the very same people to do the very same bidding of The Money Masters.

Does a single person amongst us really believe that anyone running for the office of the presidency, regardless of political party affiliation or campaign promises, would do anything other than permit the debt of the United States to grow and grow and grow some more?

max2205's picture

We don't believe Govt Charts..... it's worse!!

Sudden Debt's picture

Actually, the daily deficit is up from 5 to 6.4 billion a day. Even if it is on the low side, that's a lot!

With 6,5 billion you can buy a 20.000 man company!! You can create over 600.000 jobs withthis monthly deficit!!!!!!!!!

krispkritter's picture

I want to see the 'WTF!?!' chart. That's probably the only one we need and will believe...

aerojet's picture

What do you mean I'm out of money?  I still have checks left!

Sudden Debt's picture

No more ink in the BIC....

hedgeless_horseman's picture

 

 

Why, exactly, are we fighting the longest war in American history in Afghanistan?  No rhetoric.  No changing the question.  I would like one candidate other than Ron Paul to answer this question.

 

PicassoInActions's picture

i think 6 month ago some1 estimated around 2-3 trllions $ worth of minerals... would you pass that to china?

LawsofPhysics's picture

LOL, where is it being passed right now?  Fucking nowhere.  What makes you think it won't pass to India or China Anyway.  How about worrying about passing/protecting our own natural resources first?  I guarantee it won't cost as much.

The capital mis-allocation and mal-investment continues...

hedgeless_horseman's picture

 

 

...would you pass that to china?

The property of others, including resources in other nations, are not mine to pass. 

I believe that the concepts of property, freedom, and liberty are meaningless unless they apply to everyone

Therefore, I would let the Afghanis (and Iraqis) sell their property to whomever, in exchange for whatever, they choose.

Got empathy?