E-PICs is a regular feature of the JEC Democrats' webpage. New charts, each highlighting economic data of interest with important policy implications, will be released periodically.

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January 30, 2004 Tax Cuts Driving 2004 Budget Deficit Download this chart. Tax cuts, not runaway spending, are the primary legislative change that has swelled the 2004 federal budget deficit. Legislation enacted since President Bush took office has increased 2004 spending and lowered 2004 revenues by a total of $494 billion, compared with what CBO projected in January 2001. Only a small portion of that change is due to domestic appropriations or entitlements. The attached chart focuses on legislative changes and does not include changes to the 2004 deficit due to economic and technical factors. The data in the chart, calculated by the Center on Budget and Policy Priorities, show that tax cuts account for 57 percent of the $494 billion change in the 2004 deficit due to legislation enacted during the Bush Administration. In contrast, discretionary spending accounts for only 4 percent of those total costs.