Trump Suggests His Supporters Hold a Rally for Him--2nd Update
25 Februar 2017 - 08:41PM
Dow Jones News
By Louise Radnofsky and Nick Timiraos
WASHINGTON -- President Donald Trump opened his first weekend in
the U.S. capital since the inauguration with a call for a rally by
his supporters and a swipe at his predecessor Barack Obama over a
national-debt analysis that for now appears to favor Mr. Trump.
Mr. Trump made the remarks in morning tweets starting at 7:25
with a call for millions of people who voted for him to have "their
own rally" that he said would be "the biggest of them all!" in an
apparent reference to recent marches and protests against his
administration, including the women's march the day after his
inauguration.
He also said Saturday that the national debt has decreased since
he took office, compared with an increase under Mr. Obama, which he
said hasn't been reported.
Multiple media outlets, including The Wall Street Journal,
report on federal budget figures that are released each month. The
Treasury Department released January data earlier in February.
Mr. Obama was president until Jan. 20, when Mr. Trump was
inaugurated.
During the Trump administration, Congress hasn't made any
changes to spending or tax policy that would show up in federal
borrowing figures. Mr. Trump's appeal to take credit for recent
fiscal balances follows similar claims in television interviews
earlier this week by Treasury Secretary Steven Mnuchin that rising
stock markets were a report card signaling investors' confidence in
the new administration.
In an interview with The Wall Street Journal this past week, Mr.
Mnuchin said the Trump administration shouldn't be judged on
near-term changes in federal borrowing in its upcoming budget
proposal to Congress next month. "We're inheriting a lot of issues
from the Obama administration," he said. "When you talk about the
budget, there's going to be the short-term budget where many things
are already built in."
Mr. Obama took office in 2009 amid a significant economic
downturn that led to a sharp decline in federal receipts, sending
borrowing higher. His administration responded to that in its first
month by continuing the George W. Bush administration's bank
bailout, the Troubled Asset Relief Program, and a stimulus spending
package that the president signed Feb. 17, among other measures.
Democrats have generally praised the moves for arresting the free
fall and saving jobs; Republicans have said they prolonged a slump
and were wasteful, though they are more divided over TARP.
Monthly fluctuations in the national debt aren't unusual because
they can reflect account surpluses during periods when the
government is collecting tax revenues and deficits when it is
paying out tax refunds or federal benefits. Annual changes in the
national debt look past such monthly, calendar-related swings.
Also, the Internal Revenue Service this year must delay paying
out refunds on returns for millions of low- and middle-income tax
filers until Feb. 27. That could lead to an uptick in Treasury
payments -- and a corresponding increase in the federal debt --
next month.
Congress will need to raise the federal borrowing limit after
the current suspension of the debt ceiling expires on March 15.
After that point, the Treasury Department will need to use
emergency cash-conservation steps to prevent the debt limit from
breaching the ceiling. Independent analysts estimate those steps
can last through the summer. After that, the U.S. wouldn't be able
to pay certain bills if the debt limit isn't increased
The national debt analysis appears on conservative websites,
though the takeaway is now circulating more widely as a result of
the tweet. Mr. Trump said in a news conference last week he
believed he "inherited a mess" from Mr. Obama at home and abroad,
though he came to office with a very different set of economic
indicators that have remained strong, as he also noted
Saturday.
Write to Louise Radnofsky at louise.radnofsky@wsj.com and Nick
Timiraos at nick.timiraos@wsj.com
(END) Dow Jones Newswires
February 25, 2017 14:26 ET (19:26 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.