President Obama’s budget director predicted a $1.2 trillion budget deficit for 2012 today, which prompted one senator to call for the president to pull down a Obama campaign ad that promises to “pay down the debt.”
“For 2012, the deficit is now projected to be $1.211 trillion, $116 billion lower than the $1.327 trillion deficit projected in February,” Jeff Zients, director of the Office of Management and Budget, wrote on the White House blog. “This reflects lower-than-expected spending, partially offset by lower-than-expected receipts.”
His projection comes just days after Obama released a campaign advertisement that proposes “asking the wealthy to pay a little more so that we can pay down our debt in a balanced way.” Zients alluded to the tax increase proposal when he said that “Congress can and must enact a comprehensive and balanced deficit reduction package, along the lines of the President’s Budget” — a budget unanimously rejected by the House and the Senate.
President Obama pledged to cut the budget deficit in half by the end of his first term. (at the 1:00 mark)