The 2009 deficit was $1.42 trillion dollars. Much of that was due to the Bush era (or Bush error) tax cuts. The rest was from reduced revenues due to high unemployment, payouts for unemployment benefits, the two wars/occupations, increases in Social Security payouts, and less than $200 billion from the stimulus spending and tax cuts. There are a lot of people who think the stimulus was responsible for most of the deficit. The Democrats failed to make the truth known.
The 2010 deficit is expected to be somewhat less, but it will still be well over a trillion dollars. With the federal debt approaching 14 trillion dollars, something needs to be done.
Any cuts to government domestic programs will result in more unemployment. With the unemployment rate hovering around 10%, now is not the time to cut programs.
Defense spending needs to be reduced. The 2010 budget included $663.8 billion for defense. While the defense industry does employ a lot of people, money is better spent on domestic projects that make our country better.
Let the tax cuts for those making over $250,000 annually expire and provide a temporary extension for everyone else.
Many good paying jobs have been outsourced overseas. Companies actually get a tax break for sending our jobs to other countries. It's time to start penalizing companies that outsource our jobs and reward the ones who create jobs here. We also need some protectionist policies to level the playing field.
Finally, all the good ideas in the world don't make a bit of difference if the general public doesn't know about them. Obama: talk to the American people in plain language and explain the situation to them. Explain our options and that we need to make some sacrifices before it's too late. Record some commercials and get them on TV. It's too late for the elections, but it's never too late to get people informed. Do what's right for America. Don't capitulate to the Republicans just because you're afraid of becoming unpopular. Stand up for what's right and the rest will follow.