American Jobs Act isn't revenue neutral....Surprise!

As the United States is running a deficit in excess of $1 trillion, any un-offset costs, in this case the debt-service net of residual savings, must be borrowed. Therefore, on net, the American Jobs Act will increase the debt by $60.5 billion over 10 years. In the nearer term, the debt run-up is far more substantial — peaking at $426.4 billion in 2013.

So, when the president tells us that “the American Jobs Act is not going to add to the debt,” he’s not telling us the whole story. Sure, if the U.S. had the cash sitting around to finance the near-term deficit binge, then this wouldn’t really be any issue. But we don’t. Instead, we are on a one-way street to financial collapse. And the president’s shiny new car will only get us there faster.