Changes

'''Baseline Budgeting''' is an accounting concept within the Federal Government that determines the necessary budget for a program for the next fiscal year by multiplying the current budget for a program by the rate of inflation.  This establishes the "baseline budget" for the next year; the minimum budget needed to keep real dollars for the program constant.  For instance, if a program is budgeted at $100, and the rate of inflation for the year is 1%, the baseline budget for the next year is set at $101.    The [[Tea Party Patriots]] consider it to be a scam<ref>{{cite web |url=http://www.teapartypatriots.org/content/the-truth-about-budgets-washington-vs-reality/ |title=The truth about budgets: Washington vs. Reality |work=[[Tea Party Patriots]] |date=December 16, 2012 }}</ref>, as do many other conservatives.

'''Baseline Budgeting''' is an accounting concept within the Federal Government that determines the necessary budget for a program for the next fiscal year by multiplying the current budget for a program by the rate of inflation.  This establishes the "baseline budget" for the next year; the minimum budget needed to keep real dollars for the program constant.  For instance, if a program is budgeted at $100, and the rate of inflation for the year is 1%, the baseline budget for the next year is set at $101.    The [[Tea Party Patriots]] consider it to be a scam,<ref>{{cite web |url=http://www.teapartypatriots.org/content/the-truth-about-budgets-washington-vs-reality/ |title=The truth about budgets: Washington vs. Reality |work=[[Tea Party Patriots]] |date=December 16, 2012 }}</ref> as do many other conservatives.

William Beach for the [[Heritage Foundation]] described baseline budgeting this way:

William Beach for the [[Heritage Foundation]] described baseline budgeting this way:

==History==

==History==

Baseline Budgeting first appeared in the [[Congressional Budget and Impoundment Control Act of 1974|Congressional Budget Act of 1974]]<ref>{{cite web |url=http://www.americanthinker.com/blog/2012/10/congress_baseline_budgeting_and_fraud.html |title=Congress, Baseline Budgeting, and Fraud |work=[[American Thinker]] |date=October 19, 2012 }}</ref>.

Baseline Budgeting first appeared in the [[Congressional Budget and Impoundment Control Act of 1974|Congressional Budget Act of 1974]].<ref>{{cite web |url=http://www.americanthinker.com/blog/2012/10/congress_baseline_budgeting_and_fraud.html |title=Congress, Baseline Budgeting, and Fraud |work=[[American Thinker]] |date=October 19, 2012 }}</ref>

==Effect on government spending==

==Effect on government spending==

The current effect is that if congress does nothing, spending goes up<ref>{{cite web |url=http://dailycaller.com/2013/09/17/baseline-budgeting-the-statists-thumb-on-the-scale/2/#ixzz3eJY1XEvN |title=Baseline budgeting: The statists’ thumb on the scale |work=[[The Daily Caller]] |date=September 17, 2013 }}</ref>, and it also allows dishonest politicians like [[Barack Hussein Obama]] to make claims that are reflected against the 'wilderness of mirrors'<ref>{{cite web |url=http://www.wsj.com/articles/SB10001424127887323401904578157233680080150 |title=The Budget Baseline Con |work=[[Wall Street Journal]] |date=December 6, 2012 }}</ref> that is the budget, thus allowing them to deceive the American people.

The current effect is that if congress does nothing, spending goes up,<ref>{{cite web |url=http://dailycaller.com/2013/09/17/baseline-budgeting-the-statists-thumb-on-the-scale/2/#ixzz3eJY1XEvN |title=Baseline budgeting: The statists’ thumb on the scale |work=[[The Daily Caller]] |date=September 17, 2013 }}</ref> and it also allows dishonest politicians like [[Barack Hussein Obama]] to make claims that are reflected against the 'wilderness of mirrors'<ref>{{cite web |url=http://www.wsj.com/articles/SB10001424127887323401904578157233680080150 |title=The Budget Baseline Con |work=[[Wall Street Journal]] |date=December 6, 2012 }}</ref> that is the budget, thus allowing them to deceive the American people.

==Compare with==

==Compare with==

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[[Category: Finance]]

[[Category:Finance]]