Burning bridges; the world contemplates a country committing financial suicide
The federal budget deficit was $1.1 trillion in the first half of fiscal year 2023, the Congressional Budget Office estimates—$430 billion more than the shortfall recorded during the same period last year—and consistent with projections CBO released in February. Outlays were 13 percent higher and revenues were 3 percent lower from October through March than during the same period in fiscal year 2022.
Outlays in the past six months were reduced by the shifting of certain payments—totaling $63 billion—from October 1, 2022 (the first day of fiscal year 2023), into fiscal year 2022 because October 1 fell on a weekend. At the same time, outlays increased through March 2023 because certain payments that otherwise would have been due on April 1, a weekend, were made in March. The deficit in the first half of fiscal year 2023 would have been $10 billion smaller if those various shifts had not occurred.58995-MBR
Estimated Deficit for March 2023: $376 Billion
•Outlays of the Department of Education increased by $34 billion, reflecting the costs associated with extending the pause on student loan repayments.
•Spending by the Federal Deposit Insurance Corporation increased by $29 billion to cover deposits at two failed banks.
•Net outlays for interest on the public debt increased by $24 billion (or 53 percent).
The federal government incurred a deficit of $376 billion in March 2023, CBO estimates — $183 billion more than the shortfall recorded in March 2022. Outlays in March 2023 were affected by shifts in the timing of certain federal payments that otherwise would have been due on April 1, which fell on a weekend (those payments were made in March). If not for those shifts, the deficit in March 2023 would have been smaller $302 billion.
12 thoughts on “Ballooning budget deficits that have nothing to do with Covid stimulus”
Do you use any analytics tool that you would recommend to help value prospective properties or do you just find data on properties manually and crunch the numbers? I stumbled on this which is https://www.beta.reventure.app/dashboard not really polished of a tool but able to see some trend data for metro areas/zip codes etc.
I settle on a condo sale tomorrow. A 1031 exchange into an SFR in Woodstock, VA. It’s all good and I’m getting out of the multicultural areas. Just dealing with PEPCO and Washington Gas is terrible. Multicultural retards at the utility companies manage accounts for retarded multicultural customers.
My biggest frustration is dealing with retards who don’t realize they are functional retards. If these multicultural people took an IQ exam from 70 years ago, an average 100 IQ would score an 85. Now, that’s retarded. As the borders open, the IQ exams have to continually be recalibrated lower and lower. Year in and year out, the average person’s chance at bettering him or herself diminishes. Eventually, a world like in Elysium will be as natural as the sun coming up in the morning.
I didn’t think you would last much longer, CJ. The cities are becoming uninhabitable. The experience is nasty. I don’t know how people live there.
I expect a rush on mountain property from the coast. It has started where I live. We have a mini Fairfax here now. Three square miles of distracted drivers, angry women in jeeps, angry and rude lesbian couples, soyboys, rude tourists, action rangers. We’re too damn close to the interstate.
Allow me to warn everyone, keep well away from interstates if you buy property. Make it at least five miles off the exit.
What blows me away is that people love the cities. Like pigs rolling in the mud. I do notice the elevated levels of faggotry in villages like Strasburg.
These purchases are for my rentals properties. I can manage them from where I want to eventually live. Where abouts do you live?
If I had a clean slate I wouldn’t be on the east coast, but it’s a compromise and it’s okay. If I buy rentals that are too remote, I won’t be able to rent them out other than for Airbnb’s, which I may try if I live closer to them.
If I moved to the traditionally preferred safe places, price to income multiples can be 50-100% higher for residential properties.
Being in a major metro area may not be a bad thing for survival. What I have witnessed in CA from the time of the fires beginning in 2017, it became clear to me that all the areas that were on fire were outside the Megaregions –
It is crystal clear that the establishment does not want people to live outside the Megaregions. Perhaps that’s why they were on fire? Seems crazy tin foil hat conspiracy stuff, but at the time I overlaid the fire areas with a Megaregion map and the results fit well with my theory. All the areas that were on fire were either in redevelopment zones or simply outside of a 5G coverage area. All that high density housing going up in major metro areas has to be occupied by people. Perhaps people who once were living in remote areas? And if it’s not fire, now we have the threat of floods in CA. There was an article put out in March detailing how some communities not far from the snow pack would get flooded out of existence.
Again, crazy tin foil hat stuff, but it’s a fact that cloud seeding has been going on since at least the 1940’s. Cloud seeding to fill reservoirs for hydro electric power generation is openly admitted. https://www.kcra.com/article/aircraft-cloud-seeding-norcal-how-it-can-help/39441869# So is it much of a stretch to suggest that cloud seeding is responsible for the epic amount of snow CA had this season? All that snow will turn to raging rivers and people who are in remote areas may be in serious trouble.
For the reasons stated above I don’t want to venture too far from the metro area. In CA we have to deal with our share of communists with BLM signs and floods of immigrants looking for work because a major metro area brings lot’s of opportunity. The corrupt game of house flipping can’t survive without cheap labor. Don’t get me started on real estate agents and that whole scene! Hard to believe that is legal.
In order to get out of the leftist mindset in CA one has to travel about 2 hours in any direction from the bay area. Similar scenario in LA I imagine. I’m about to submit an offer for a house with a shop in city limits. If this goes through it gets me out of a condo with an HOA but I will be paying up about $200K over 30 years. Not ideal but it beats renting the shop I’m in now. It’s an older neighborhood and a nice pocket tucked away from the main drag and not close to any public transit train stations. Because public transit is the most efficient way of importing crime into a neighborhood.
Think about buying that property 3 years ago. Think about paying $200,000 for 30 years, three years ago. In terms of spending power that would have already depreciated 15%. In another few years, that $200,000 debt burden will no longer be the $200,000 of today. It will probably be depreciated by 20-25%.
I’m paying cash for my latest purchase and is a result of the 1031 exchange. After I get it rented out I will probably do a cash out loan on it and look for another property out there. This current purchase is about 4.5 miles away from the town and the interstate, but it’s close enough that I can rent it out.
You also bring up good points. Each person’s circumstances are different. I often tell people that I would rather be stuck in downtown Baltimore during World War III knowing what I know rather than living in the middle of remote Southern Colorado and watching Fox News for my information.
The concepts that we cover here on this blog are invaluable. None of this blog shows up on a Google search as their filter algorithms don’t know how to read this website. They used to bash it as being racist, but that only attracted more people to this blog. Now it receives the silent treatment.
When SHTF I think safety would be found in the cold northern regions. Most folks, including Skousen, generally do not recommend such places. I get it, it’s COLD and most folks naturally avoid such, but that’s the whole point.
Give me trees, water, axes, fishing gear, guns, ammo and a soapstone stove. You won’t see my ass all winter.
Skousen does recommend the colder areas as the softer and less healthy people prefer warmer climates. I agree with you about the colder areas though. Nothing like cold winters in more remote areas to shake out the heathen.
Skousen’s analysis primarily pertains to the confines of the US. He doesn’t recommend Americans leaving the country as Americans will stick out and be the ones blamed for WWIII. I am staying in the US. If I were Canadian, I would live in the areas with low housing P/I multiples.
And I get it, the propagandizing against Americans has been wildly successful and I even pick up on the results of this on this blog. I can easily gauge the contempt that Canadians and Europeans hold against Americans, and there would be no way that I would ever move to Canada, just based on this alone. I will never go to another country that is not fluently English speaking and there are no countries whose populations view Americans favorably anymore. The propagandizing against the average American has been so successful. While there is a lot of visceral contempt toward Americans, even from within the former Commonwealth, there are plenty from within the borders that are God-fearing Christians here in the states and that population outnumbers the entire population of Canada. I would not get caught up in the religious denominational arguments either.
Are you saying three years ago that $200K should be $200K plus 15% – or $230K – for the same property that is just 3 years older (zero improvements to increase value)? Of course three years ago where I am that property would have been sold for all cash and for more that what I’m writing now.
Please bear with me as I try to process all this. If this goes through I’m on the hook for $200K, at, let’s say 6%. That is a fixed amount and no prepayment penalty. By depreciation you say that $200K looses buying power. What I can buy for $200K now may require $250K in the future? I think what you are saying is it’s not a bad thing to be locked into fixed interest rate debt as money loses value? I heard 0ne commercial real estate agent say “it’s good to pay off debt with inflated dollars.” If I understand all this correctly, that fixed monthly payment assumes the dollar value as it stands today. 15 years later I’m still making that same payment with the same $2000.00 or whatever that payment ends up being. Meanwhile $2000.00 15 years from now might buy you dinner (if I may exaggerate a tiny bit to make a point).
The only income generating assets I have to offset the debt burden are my muni bond investments and my business specializing in repairing a very unique component. I also have an industrial condo that I use for my business now but can possibly turn into a rental in the future.
In regards to this blog I do find the content educational and interesting and being around like minded respectful people is a bonus. You take the time to process all of our thoughts and theories and offer an opinion. And we do the same with no fear of backlash or being banned.
Whatever is coming we have no control over. Trusting in Christ is the only armor we need. Human logic and reasoning have limitations. Christ has no limitations! In the spirit of “bright week” (the week following Easter) we say Christ has risen! Indeed he has!
When I mean the principal amount of $200,000 being depreciated, so to speak, I’m referring to the amount of real debt burden and how that diminishes every year. If we have 5% inflation in the first year, that $200,000 is now worth $190,000 in terms of its real impact on you.
If you take out $200,000 today for a mortgage, at the end of year one you would need to take out $210,000 given 5% inflation, all other things being equal.
I recall taking out a $156,000 cash out in 2015 on a particular property and thinking it was a lot of money at the time. It was at a 7.5% interest rate. I fast forward 8 years and realize that $156,000 is really hardly anything when I consider I took out a $300,000 loan late last year to buy another property.
Thus, every year subsequent to the closing of your loan, your borrowing of $200,000 in NOMINAL terms must increase to equal the $200,000 in REAL terms, because of inflation.
Thus over time, you’re $200,000 loan that you take out today will signify less of a burden to you as the years progress. It’s the great Open secret regarding borrowing for income generating assets. All the loans I took out over the years up until about a few years ago are really insignificant when compared to the costs of today.
Jeff Rense is currently extolling the virtues of Putin and how popular he is in Russia. Rense says that Putin and Russia are like how the US used to be.
This was a very informative article, why bother with an Econ class at the local community college when we can just visit your blog! Rense’s site used to be a goto but not so much anymore. btw PPSI almost hit $6 today.. nuts! Pot stocks and BTC related stocks still on the radar this week.
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