Public is Optimistic but Remains Divided on Nation's Budget Priorities

By jchoi on April 7th, 2009

Media pollsters of late have noted the remarkable uptick in public optimism about the economy since President Obama's inauguration. An ABC News/Washington Post poll last week indicated a double-digit rise in those saying the country is headed in the right direction and a double-digit decline in those saying the economy is getting worse. A CBS News/New York Times poll released today shows almost identical results: 39 percent of Americans think the country is headed in the right direction (up from 15 percent in mid-January) and 34 percent say the economy is getting worse (down from 54 percent in mid-January).

Surely these are significant indicators of a clear shift in public sentiment about the economy. Americans are feeling more optimistic than since the economic crisis began. But a major public debate has been over the federal budget. The bipartisan consensus, a view shared by President Obama (and one that Scott Bittle discussed in great detail here), has been that in order to stimulate the economy, the government has to borrow and spend heavily. But how much and what kind of spending has been a matter of fierce debate.

The analysis provided by the New York Times understates some key findings from the poll where the public weighs in on this very issue of delicate balance. Nearly two-thirds (63 percent) of the American public is "very concerned" that increasing the national debt will create hardships for future generations, with 28 percent saying they are "somewhat concerned." But when the dangers of an accumulating deficit are posed alongside the need to stimulate the economy, respondents are evenly split: 45 percent favor more government spending to stimulate the economy, at the expense of a ballooning deficit and national debt, while 46 percent favor reducing the deficit.

One of the most noteworthy findings in the CBS/New York Times poll is the near-even split among respondents to a question pertaining to the size of government. While 41 percent say they would rather have a bigger government providing more services, 48 percent say they'd prefer a smaller government provided fewer services. Certainly public attitudes have more or less always been divided over the size and scope of government, and perhaps always will be, but consider the responses in later sections of the survey: 74 percent support increasing federal income taxes on households with incomes of more than $250,000 a year, 71 percent say government should increase regulations on banks and financial institutions, and 64 percent believe companies should have to accept government instructions on how to run their business as a condition for receiving aid.

Also important to keep in mind is the fact that there is a considerable volume of double-digit "don't know" responses to Obama's budget and economic proposals: whether the new tax proposals will hurt or help the economy (40 percent say "haven't heard enough" or "don't know") and whether new spending proposals will hurt or help the economy (34 percent say "haven't heard enough" or "don't know"). This is always a warning sign that public opinion may be more unsettled or uncertain than it might seem.

Permanent URL for this entry | Print this page

Tags:

10 comments on this entry

Nation's Budget Priorities

On April 19th, 2009 Amanda Archer says:

I believe that the overspending will create hardships for future generations like my own. I think it's crazy that we must spend so much money like this. Bailing out big places like the AIG is just un called for! Those people do not need all that money. It needs to be stopped moreless put under control or generations like mine will not receive things like social security when we get older.

Re: Public is Optimistic but Remains Divided on

On April 20th, 2009 Economic_PAUL says:

The spending that the United states is not acceptable. The US is spending millions of dollars an hour and its only going to get worse. Overspending is deffenatly a huge factor in this recession we are curently in. If a man that made forty thousand a year, and spent $200,000 a year this is a example of what the US is doing today.

Re: Public is Optimistic but .....

On April 27th, 2009 ftungjaroenkul says:

I see money going AIG not sure this will help future generations. Wouldn't increasing the budget for education stimulate the economy and the minds of our younger generations. I agree a lot of people don't understand the economy, they are educated through the media and it takes more than that to know what is going on.
F.Tungjaroenkul

Re: Public is Optimistic but Remains Divided on Nation...

On April 30th, 2009 Alondra says:

The borrowing cap debt ceiling as of 2005 stood at $8.18 trillion. In March 2006, Congress raised that ceiling an addition $0.79 trillion to $8.97 trillion, which is approximately 68@ of GDP. Congress has used this method to deal with encroaching debt ceiling in previous years, as the federal borrowing limited was raised in 2002 and 2003. Podcast media is the way of the future. Some people wonder what a podcast is. Podcast is uploading new media files that are set to broadcast by those people who have subscribed to your profile. You can generate revenue pretty easily with a podcast that people are interested in. Some podcasts are so hot that people get short term loans to sign up for them. If you have valuable information, it's easy to generate money; you don't want to give out a free podcast for what people should pay you for. If you post them often, and they're good enough, people could be getting installment loans for your next podcasting.

Why?

On May 29th, 2009 Marlet says:

I dont understand why people were saying the economy is getting better. Because of the actions taken there are going to be some delayed implications that may take a year to come to flurishen.

Free iMac

Re: Public is Optimistic but Remains Divided on Nation's Bu

On June 10th, 2009 jackiboa says:

You can generate revenue pretty easily with a podcast that people are interested in. Some podcasts are so hot that people get short term loans to sign up for them. If you have valuable information,Dissertation Help it's easy to generate money;Thesis Help you don't want to give out a free podcast for what people should pay you for. If you post them often, and they're good enough, people could be getting installment loans for your next podcasting.Custom Research Paper

Re: Re: Public is Optimistic but Remains Divided on Nation...

On June 10th, 2009 jackiboa says:

Bailing out big places like the AIG is just un called for! Those people do not need all that money.Term Paper Help It needs to be stopped moreless put under control or generations like mine will not receive things like social security when we get older.Essays

A special re-interview this

On June 19th, 2009 modeltrains says:

A special re-interview this weekend of voters who had first been polled a week ago finds that public reaction to the $700-billion economic bailout package signed into law last week is decidedly mixed, with a narrow plurality of 42% saying it was the right thing to do and 39% saying it was the wrong thing to do; 19% are unsure.

cheers,
HO Trains

Re: Public is Optimistic

On June 22nd, 2009 Dany says:

Media pollsters of late have noted the remarkable uptick in public optimism about the economy since President Obama's inauguration.
The public remains divided, with a narrow majority, 53 percent, ... Independents show a similar upward trend in their ratings but overall remain closer.

Fta

Re: Public is Optimistic but Remains Divided on Nation

On August 14th, 2009 Jonny1985 says:

I think things are still going to get worse before they get better. I was encouraged though about the recent improvements in the French and German economies which indicate that Europe may be through the worst of it. marketing database

Public is Optimistic but Remains Divided on...