–House Budget Chairman: Admin Plan Spends, Taxes and Borrows Too Much
–Rep. Ryan: Obama Plan Doesn’t Provide Roadmap To ‘Prosperity’
–Sen. Sessions: Obama Continues Down ‘Same Unsustainable Path’

By John Shaw

WASHINGTON (MNI) – President Obama’s fiscal year 2012 budget falls
well short of what is needed to begin fixing U.S. fiscal policy, House
Budget Committee Chairman Paul Ryan and Sen. Jeff Sessions, the ranking
Republican on the Senate Budget Committee, said Monday.

In a statement, Ryan said that Obama’s budget “spends too much,
taxes too much and borrows too much.”

Ryan said Obama’s budget dodges the tough steps needed to control
spending and reduce deficits.

“The president has failed to tackle the urgent fiscal and economic
threat before us,” Ryan said.

“We cannot tax, spend and borrow our way to prosperity,” he said.

In a separate statement, Sessions also found little to like in the
president’s budget. Obama, he said, “continues to drive down the same
unsustainable path.”

Sessions said that the debt would grow by more than $7 trillion
under the president’s new budget over a decade, charging that his plan
“fails to seriously meet” the growing debt threat.

Obama released Monday his fiscal year 2012 budget and it calls for
$1.1 trillion in ten year savings, about two-thirds of which would come
from spending savings and one-third from tax increases.

Obama’s FY’12 budget sees budget deficits of $1.65 trillion in the
current year, FY’11, and $1.1 trillion in FY’12.

The administration projects deficits of $768 billion in FY’13, $645
billion in FY’14, $607 billion in FY’15, $649 billion in FY’16, $627
billion in FY’17, $619 billion in FY’18, $681 billion in FY’19, $735
billion in FY’20, and $774 billion in FY’21.

According to the administration’s budget, cumulative deficits
between FY’12 and FY’16 will be $3.769 trillion and cumulative deficits
over the FY’12 to FY’21 period will be $7.205 trillion.

Under the president’s plan for FY’12, spending will reach $3.7
trillion while revenues generate $2.627 trillion.

** Market News International Washington Bureau: (202) 371-2121 **

[TOPICS: M$U$$$,MFU$$$,MCU$$$]