Economists doubt Obama spending pledges

July 8, 2008 at 12:07 PM   |   0 comments

WASHINGTON, July 8 (UPI) -- Some U.S. economists are warning that Sen. Barack Obama's proposed spending plan may be too ambitious and will not have the revenues to make it work.

The Los Angeles Times said Tuesday that the presumptive Democratic presidential nominee has put a long list of federal programs on the table that some analysts believe is simply too expensive.

"There will definitely need to be a recalibration of these proposals once someone is in office," said Isabel Sawhill, a former Clinton administration budget official who is now at the Brookings Institution. "The fiscal situation just isn't going to permit doing what Sen. Obama or anyone else would like."

Alice Rivlin, who was director of the Office of Management and Budget for President Clinton, cautioned that, "Savings from (ending) the Iraq war will not be all that great."

Obama, D-Ill., has vowed to beef up spending to help get the nation through the worsening economic slump, including tax relief for lower and middle-class families and increased spending on infrastructure and extended health insurance.

The Times said analysts expect that, if elected, Obama would have to re-evaluate his spending proposals.

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