Tuesday, November 6, 2012

Understanding Big Gov Budget Cuts


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Let us go over this again. We want to show that all of this threatening talk about Budget Cuts are not real budget cuts. They are cuts in the expected budget growth. Here is how budget cuts work in US Big Gov.

2011 budget for Dept X is $1 million.

New Dept X budget for 2012 is expected to be increased 20% to $1,200,000.

However, if Dept X actually receives a $1,100,000 budget for 2012, this is called a Budget Cut.

So, their budget actually grew by $100,000 but it is regarded as a budget cut for political purposes. See how it works! =TheRightJack on 11/21/11

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Cutting the budget as US Big Gov understands it. Here is how it works.

Lets say that a US Big Gov Department has a current budget of $110,000 billion. For the next year, they are given a budget increase to $130,000 billion. Now, suppose they actually receive just a paultry $125,000 billion.

In US Big Gov Department terms, they cut $5 billion dollars from their budget.

In the world of US Taxpayers, this department received a $15 billion increase in spending. See how they play word games on us in DC.... and both Democrats and Republicans do it.

Source: Daniel Mitchell from the Cato Institute as explained to Judge Andrew Napolitano on his cable TV show July 8, 2011.

Originally posted July 9, 2011
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