House Democrats Tout Budget as Deficit-Reducing

This article describes House Democrats’ attempts on March 28th to convince other representatives that their $2.9 trillion budget will result in a $153 billion surplus in 2012 despite planned increases in spending on national security, defense, education, and veterans’ affairs. They must be referring to a peak surplus for that year alone because the national deficit currently exceeds $3.2 trillion. Even if Democrats prevent an extension of the tax cuts enacted by Congress in 2001 and 2003, real income will not rise enough to produce enough of a surplus unless there is a drastic tax increase against corporations and other wealthy elite, who in turn might retaliate by raising the prices of goods and services beyond the reach of working-class individuals and families, which could spark a series of congressionally enacted minimum wage increases, which would require the retention of a Democratic majority…All the while paving the way for the small business owner to rise from the ashes, offering cheaper prices for goods and services as the corporations attempt to out-price the average consumer as revenge for the proletariat-led congressional rebellion against tax havens for the rich.
I believe the key sentence in the article is, “Under Congress' budget process, the annual budget resolution is a nonbinding outline that guides future legislation.” By showcasing partisan ideals about the budget, the annual budget bill provides ample opportunity for members of Congress to demonstrate their show horse appeal. The median vote theorem predicts that the mean effect of all appropriations bills approved by this Congress will reduce the deficit by several million dollars, a small step towards halving the deficit by 2012 (I doubt a net surplus will result by then) and a sustainable reduction that Republicans are likely to continue or even build upon if fiscally moderate Democrats happen to lose the majority.