Friday, June 10, 2011

BREAKING NEWS: May 2011 deficit down $78 billion

The deficit in May 2011 was $57.6 billion vs $135.9 billion in May of 2010.  That's an improvement of $78 billion over last year.  Tax revenue grew because the economy has been adding jobs since October and corporate profits have climbed, leading to higher personal income and business tax collections.  

As I say in another post, we don't have a long-term spending problem, we have a REVENUE problem.  We need TWO THINGS:  (1) Return personal and corporate taxes, especially personal on those with incomes over $250,000 to 1990s levels, and (2) Provide more stimulus to create jobs and reduce unemployment. 

If we do those two things along with some modest spending restraint, the growth in revenues will eventually take care of the deficit crisis Republicans got us into by--you guessed it--CUTTING taxes.   It's not rocket science people. 

See the report on the  May deficit here:

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