CBS says Obama’s promises don’t add up:
The very bigness of [Obama’s] ideas is the problem: he seems blind to the concept his numbers don’t add up.
Obama has already proposed a new stimulus package of $188 billion over two years. His tax cuts will cost $85 billion a year. His “army of new teachers”: $18 billion. Renewable energy: $15 billion. CBS News and various independent experts estimate Obama’s total first year spending could exceed $280 billion.
Still Obama repeated his claim he can find the money to pay for every proposal.
“I’ve offered spending cuts above and beyond their cost,” he has said.
The fact is the savings Obama has identified do not cover his spending. According to a CBS News estimate, he’s around $90 billion short.
Well, the tax cuts won’t survive to inauguration day. That would put him only $5 short, by CBS’s estimate.
The real bad news is the numbers are far worse than this. They’re based on the idea that government action won’t change individual behavior (except when it’s supposed to). Stifling the economy with high taxes and regulation will lead to slower economic activity and lower tax revenues. His tax hikes won’t raise the projected revenue and his revenue-neutral regulation won’t be. His tax cuts might cost less than projected, but that’s moot since they’ll never happen.