Rep. Mulvaney on the President's Budget: These Are Not Credible Numbers

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At today's House Budget Committee hearing on the President's 2012 Budget, Rep. Mick Mulvaney of South Carolina pressed White House budget director Jack Lew to justify the President's economic and interest-rate assumptions, which are completely out of sync with reality. Mulvaney demonstrated that much of the "savings" in the President's budget are a function of these rosy assumptions about the economy and interest rates. If GDP growth is lower than expected by one percentage point, and if borrowing rates are one percentage point higher, the President's deficits would increase by .7 trillion.

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