US Deficit to Quadruple to $1.8T, Top 2008 Record
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(AP) – With the economy performing worse than hoped, revised White House figures point to deepening budget deficits, with the government borrowing almost 50 cents for every dollar it spends this year. The deficit for the current budget year will rise by $89 billion to above $1.8 trillion—about four times the record set just last year.

The unprecedented red ink flows from the deep recession, the Wall Street bailout, the cost of President Barack Obama's economic stimulus bill, as well as a structural imbalance between what the government spends and what it takes in. As the economy performs worse than expected, the deficit for the 2010 budget year beginning in October will worsen by $87 billion to $1.3 trillion, the White House says. The deterioration also reflects lower tax revenues and higher costs for bank failures, unemployment benefits, and food stamps.

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What will happen when we get to borrowing 1 dollar for every dollar spent?

Then we will owe twice as much

So long as we collect taxes, this can never happen. However, the point to worry about is when the interest on said debt will hit the point where the interest is 100% of that income from taxes. That is a dangerous circle of events.

We make so much off taxes, but there is a portion of that which goes to interest (funny enough, larger than the recent deficits and almost what we are going to have this fiscal year) so we have to borrow to make the ends meet on the budget. That means, next year's budget will have a larger portion going to interest and we will have to borrow more money in order to cover the gap. Repeat that last sentence a few times and you will realize that with every passing year, our deficit spending chews more and more of the income from taxes. This puts us in a position where there are three options (two that can actually happen). one, we sit at the mercy of our debtholders. two, fiscal responsibility and pay down the debt (ha!). Three, default, with major political ramifications.

Deficit spending under W's administration was bad and irresponsible. Obama's administration is just taking the game to the next level. Currently, many only blame Bush and Co. for the problems we are facing and they will likely blame him when the **** hits the fan. The scary part is, the **** has not hit the fan yet and we are very quickly approaching option number 1. When it does, we will not be ready. It's going to be Great Depression II. And the sheeple are too blind to see it coming and no amount of government spending will be able to fix it because there will be no loans to use.

A vicious cycle - and we're stuck in the middle.

Very true. I hate to repeat myself but.....
No country in history has outspent it's treasury and survived.

Obamas expierment with Socialism and Communism is leading the counry to a fate similar to Russia.Record high unemployment,no money,and enough debt to make GW Bush's eyeballs pop out of his head.
CAN WE DO IT!NO WE CAN'T!

http://stats.bls.gov/news.release/pdf/empsit.pdf

EMPLOYMENT SITUATION: APRIL 2009
Nonfarm payroll employment continued to decline in April (-539,000), and the unemployment rate
rose from 8.5 to 8.9 percent, the Bureau of Labor Statistics of the U.S. Department of Labor reported
today. Since the recession began in December 2007, 5.7 million jobs have been lost. In April, job
losses were large and widespread across nearly all major private-sector industries. Overall, privatesector employment fell by 611,000.




The number of unemployed persons increased by 563,000 to 13.7 million in April, and the unemployment
rate rose to 8.9 percent. Over the past 12 months, the number of unemployed persons has
risen by 6.0 million, and the unemployment rate has grown by 3.9 percentage points. (See table A-1.)
Unemployment rates rose in April for adult men (9.4 percent) and blacks (15.0 percent). The jobless
rates for adult women (7.1 percent), teenagers (21.5 percent), whites (8.0 percent), and Hispanics
(11.3 percent) were little changed over the month. The unemployment rate for Asians was 6.6 percent in
April, not seasonally adjusted, up from 3.2 percent a year earlier. (See tables A-1, A-2, and A-3.)

Bush didnt help it, but as from thin air, Clinton created an opportunity for a quick buck. Many people became rich almost overnight during the Clinton 8.
He created a lot of false wealth from risk taking, enabled by lax-regulations.
He did it as Gov in Arkansas and he did it as President.
Today's economic problems are too similar to Whitewater to be a coincidence.
It's Whitewater on steroids.

It wasn't so much the lax regulation as it was the work-arounds his administration and the congress at the time allowed.

The primary difference was that economic growth during the 1990s was real and this did in fact allow a lot of people to get rich quick and that money was irresponsibly thrown about by everyone - from the person that made it to the government *cough* California *cough* and their tax revenues. However, much of that revenue allowed Clinton's administration to reduce the surplus. With the last 8 years, the growth was an illusion.