US Deficit Soars Under Biden: “Wasteful Spending” or “Critical” Military Aid?

Jo ShawOct 28, 2023

Minute Read

The federal government just wrapped up its fiscal year. The Department of Treasury released a statement that shows that the deficit for the 2023 fiscal year hit a total of $1.7 trillion, a rise of 23% from the previous year.

Deficit $320 Billion Higher Than the Previous Year

In a Joint Statement, Janet L. Yellen, Secretary of the Treasury, and Shalanda D. Young, Director of the Office of Management and Budget, said the deficit was “$320 billion higher than the previous year’s deficit.”

Biden Succeeded in a “Strong Economic Recovery”

In a bid to detract from the souring deficit, the statement released repeatedly emphasized the Biden Administration’s success in lowering unemployment rates and recovering from the COVID pandemic, “thanks in large part to a strong economic recovery facilitated by a historic vaccination program that allowed the responsible wind-down of emergency measures.”

Economy Has Added Nearly 14 Million Jobs

“From Day One, the Biden-Harris Administration has worked to build an economy from the middle out and bottom up. Our economy has added nearly 14 million jobs since President Biden took office,” the statement read. “and the share of working-age Americans in the workforce is the highest in 20 years.”

Deficit Remains $1 Trillion Lower Than When Biden Took Over

Although in seemingly better news, the statement also noted, “The deficit remains over $1 trillion lower than when President Biden took office.”

Deficit Will Be Reduced Over the Next Ten Years

The statement continued, declaring that plans were in place to reduce the deficit over the next decade. “the President signed bipartisan legislation earlier this year that will reduce deficits by another $1 trillion over 10 years.”

“The Economy Remains Resilient.”

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Secretary of the Treasury Janet L. Yellen said in her statement, “The U.S. economy remains resilient despite global headwinds. Previous expectations that the U.S. would fall into recession over the course of 2023 have not borne out.”

The Treasury Continued to Quote Employment Figures

“Our economy added over 300,000 new jobs in September and our GDP growth continues to surprise forecasters to the upside, even as inflation has come down significantly since last year,” she said as she continued to push that Biden had been successful in his plans to get Americans back to work after the pandemic.

Ensure the Wealthy Pay Their Share

Biden’s plan of taxing the rich and “cracking down on wealthy tax cheats” was going to assist in reducing the deficit, resulting in projected savings of “$2.5 trillion.” “Wasteful spending on special interests” would also contribute to the $2.5 trillion in proposed savings, said Shalanda Young, Director of the Office of Management and Budget.

Budget Report Comes at a Bad Time for Biden

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The Treasury’s statement was issued the same week President Biden requested Congress to allocate $105 billion for national security priorities, particularly addressing the ongoing war in Ukraine and the conflict between Israel and Hamas.

$75 Billion in Assistance Already Sent to Ukraine

Since the start of the Ukraine war, the Biden administration and Congress have channeled over $70 billion in aid to Ukraine, encompassing both humanitarian assistance and military support, based on figures provided by the Ukraine Support Tracker, a database maintained by the Kiel Institute for the World Economy.

Biden’s National Security Package

On Friday, the Biden administration unveiled the specifics of a $105 billion national security package to cover the conflicts in Ukraine and Israel.

Aid for Ukraine

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The $61.4 billion budget allocated in aid to Ukraine is planned to cover training, weapons and equipment, stating the money allocated would assist Ukraine in defending itself against the ongoing Russian invasion and allow Ukraine to take back its territory.

Aid for Gaza and Israel

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An additional $14.3 billion is designated for the Israel-Gaza conflict, primarily aimed at enhancing security support for Israel and its endeavors to secure the release of hostages. A segment of this funding would also be allocated for humanitarian aid to assist civilians in both Gaza and Israel, impacted by the conflict.

Aid for Humanitarian Needs

A total of $9.15 billion is planned to be allocated to address humanitarian needs in Ukraine, Israel, Gaza, and other regions. This allocation encompasses assistance for Palestinian refugees residing in the West Bank and neighboring areas.

Budget Request Is Critical

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The National Security Adviser Jake Sullivan said in a statement, “Taken together, this budget request is critical to advancing America’s national security and ensuring the safety of the American people.”

Biden’s Statement on the Conflicts

The Whitehouse recently published Biden’s statement about the war in Ukraine and the Hamas attacks on Israel. “Meanwhile, Putin denies Ukraine has or ever had real statehood. He claims the Soviet Union created Ukraine,” Biden said.

A Week Left to Live

“And just two weeks ago, he told the world that if the United States and our allies withdraw — and if the United States withdraw, our allies will as well — military support for Ukraine, it would have, quote, ‘a week left to live,’” he added.

We’re Not Withdrawing

“But we’re not withdrawing,” confirmed Biden in his statement. “So let me share with you why making sure Israel and Ukraine succeed is vital for America’s national security,” Biden continued.

More Chaos and More Destruction

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“History has taught us that when terrorists don’t pay a price for their terror, when dictators don’t pay a price for their aggression, they cause more chaos and death and more destruction,” said Biden, saying the “costs and threats” to the US, would continue to rise.

The Economy Is Doing Well? We Can Go to “War”

In response to Janet Yellen, U.S. Secretary of the Treasury’s statement, users posted online regarding government spending on foreign aid and wars. “she said [Janet Yellen] that American economy is doing well and we can go to the next war,” one user wrote. “Yeah let’s give money to ukraine and make more wars,” said another. “What’s another 100 billion to Israel…” posted another user. So, will Biden’s pleas for more money for military aid be answered, or will he face condemnation over “wasteful spending?”