Thursday, December 17, 2009

House passes $636B defense bill; Obama says health costs poised to bankrupt the Fed Gov't.


The U.S. House passed a $636 billion defense spending bill that also would extend jobless benefits and healthcare for out-of-work Americans another few months. [Thrown in to attract votes to the military spending--K.R.]

The bill also would provide a 3.4 percent military pay increase but did not include funding to send 30,000 additional troops to Afghanistan as President Obama called for early this month. The price tag was estimated to be about $30 billion.

In an interview with ABC News' Charles Gibson, President Obama said  that the costs of Medicare and Medicaid are on an “unsustainable” trajectory and if there is no action taken to bring them down, “the federal government will go bankrupt.”

In 2007, the latest figures I found, the Federal Government spent 370,806 billion dollars on Medicare and 196,624 on Medicaid-SCHIP (children's health insurance).

How come Obama never talks about the unsustainable trajectory of military spending and its power to bankrupt the government? How about TARP? The bankster bailouts are even bigger than 1 year's military outlays.