Largest October deficit on record: $176 billion

October was another costly month for Uncle Sam. The Treasury Department reported on Thursday that federal coffers racked up a deficit of $176.4 billion for the month.

It was the 13th straight month of a reported monthly deficit. Treasury said it was the largest October deficit on record.

October is the first month of the government's fiscal year, and at this reading, the Treasury is estimating that the annual deficit will hit $1.5 trillion. That would top the $1.42 trillion registered for 2009, which was the highest annual deficit since 1945.

money.cnn.com...

I just don't see recovery happening. Unemployment is still going up and the government is racking up record debt. The underlying problems with the economy still exist, the government is just propping it up by throwing money at the problem. Banks deemed too large to fail are getting even larger.

I don't know what to think anymore. I keep hearing about how the worst is over and we are in economic recovery but all the signs I see around me are telling me a different story.

For the month, the Treasury took in $135.3 billion from various sources and spent $311.7 billion.

Sounds to me like a country heading into bankruptcy. This kind of wreckless spending can't go on without consequences.

I guess all we can do it prepare for when the house of cards comes crashing down.

That's approx $588 dollars per person in the United States just for this months deficit.

Now of course, 46% of American workers pay no income tax to Uncle Sam, and get a refund at the end of the year.

18% of Americans are unemployed and will pay little to no taxes (US U6)

So we are looking at a small portion, mostly middle class, that are having their pockets fleeced.

Not, of course, this generations pockets.. no .. this is all on the plastic, don't worry. It will be your children who actually pay for this via taxes and inflation.

Thank you Federal Government, your competency will never cease to amaze me.

Fasten your seat belts please. That’s an overdraft of more than $ 1’300 in ONE MONTH per U.S. taxpayer. And more than $ 1'750 per each "paying" U.S. taxpayer.

For tax year 2005, 134,372,678 individual tax returns were filed. Of those filed, 99,880,223 actually had a tax liability and actually paid taxes.
Source: wiki.answers.com...

But that's not all. To add injury to insult they try to con people into believing the gargantuan deficit is … POSITIVE!:

... The person charged with drafting President Obama's deficit-reduction plan is White House Budget Director Peter Orszag. Orszag told CNN on Thursday that the current deficit, as bad as it is, "is actually, ironically, helping the economy. The tax relief and additional spending helps to bolster demand when the economy is very weak."
Source: money.cnn.com...

So, THANK you Mr Orszag for "helping" the country. Long live the Obama team.



[edit on 12-11-2009 by CoolBlackHole]

And your point? As Miley Cyrus would say IT's A PARTY IN THE USA!!!!!!! Seriously, has our country and the American consumer gone mad? Retail sales up? The DOW up 100 points today? I don't see this train wreck coming to a head any time soon. Market crash? LOL........hahaahahaaaaaaaahaaaaaaaaaaaa!

I live in SoCal and was at the mall yesterday. People were spending like crazy. I mean the mall was PACKED! I know Nordstrom's caters to a much higher end shopper but they had their half yearly sale which is never really that great and the store was seriously shoulder to shoulder with shoppers. My wife and I make good money and are both fully employed and we are living paycheck to paycheck with no disposable income to spend on clothing right now. Christmas will be very light for us. I don't get it. Recession? What recession!

reply to post by Zosynspiracy


Same here in my area. People are oblivous to what is going on. Malls are full and people are back to living beyond their income, racking up the credit card debt. Hey the guy on TV said its all ok now right?

Sadly very few people have learned a lesson from this recession that they think is over. We are only half way through this thing in my opinion and it will get worse. The government can only prop up the economy for so long..

It doesn't matter what the deficit is, and it doesn't matter what the unemployment rate is.
The only thing that matters is the focus on healthcare, don't cha know.

But healthcare will soon take a backseat because basketball season just started.