I'm sure you are all atwitter over the release of Paul Ryan's (Republican Chairman of the House Budget Committee) proposed budget. Let the cries of austerity begin! But I have a way to take the President's budget and Mr. Ryan's budget and create a balanced budget in five years. That's right, five years.
First. Here are Federal outlays from F11 through F22 for the President and Mr. Ryan's budgets. Personally I'm a little disappointed cuts weren't deeper for Mr. Ryan.
Here are revenues under both budgets. Personally I would like revenues to be lower as well. What is surprising is how close the revenue estimates are for both budgets. Over the 10 year time period, 2013-2022 the President's budget has revenue of $39 trillion and over the same time period Chairman Ryan has revenue of $37 trillion. Not very impressive.
Outlay minus revenue equals deficit. Over the ten years F2013 through F2022 the Obama deficits total $6.4 trillion. Over the same time period the Ryan budget deficits are $3.1 trillion. But even Ryan can't reach a balanced budget by fiscal 2022. I can.
Take the Obama revenue and the Ryan outlays and we reach a budget surplus by fiscal 2017. Over the ten year fiscal 2013 through 2022 the cumulative budget deficit under the Knabe plan is $1.1 trillion.
You are most welcome America.
PS. There is another alternative. What if we take Obama's spending and Ryan's taxes. I call it the Knabe Nightmare.