{"id":18101,"date":"2023-09-20T16:42:30","date_gmt":"2023-09-20T16:42:30","guid":{"rendered":"https:\/\/sasquatchnewsonline.com\/?p=18101"},"modified":"2023-09-20T16:42:30","modified_gmt":"2023-09-20T16:42:30","slug":"flawed-federal-government-accounting-miscalculates-66-billion-in-cost","status":"publish","type":"post","link":"https:\/\/sasquatchnewsonline.com\/?p=18101","title":{"rendered":"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost"},"content":{"rendered":"
\n

This story originally was published by Real Clear Wire<\/a><\/p>\n

By Adam Andrzejewski
\nReal Clear Wire<\/p>\n<\/div>\n

\n
The federal government is using a flawed accounting method, which is likely underestimating the costs of a loan program by $66 billion, according to a new report<\/a> from the Congressional Budget Office.<\/div>\n<\/div>\n
\n
\n
<\/div>\n
According to the CBO, the government uses a procedure from the Fair Credit Reform Act of 1990 to make cost estimates for the federal budget. While this method is required by statute, CBO notes that another estimation method, fair value estimation, could be more accurate, as it measures the current market value of government obligations.<\/span><\/div>\n<\/div>\n<\/div>\n

The government estimation method puts cost estimates for new loans and loan guarantees issued in 2024 at $10.9 billion over their lifetime. Using the fair value estimation method, however, raises the cost to $76.7 billion, about seven times the federal estimate.<\/p>\n

The discrepancy is largely attributable to loan guarantees made by Freddie Mac and Fannie May, the U.S. Department of Housing and Urban Development\u2019s loan guarantee program, and the Department of Education\u2019s student loan program.<\/p>\n

In each case, the government\u2019s method estimates these loans saving billions, while fair value estimates suggest they would cost billions. In the case of the student loans, the cost discrepancy between methods is a difference of $44.7 billion.<\/p>\n

The CBO notes the fair value method accounts for market risk, which accounts for macroeconomic conditions like productivity and unemployment, which makes it, in its opinion, \u201ca more comprehensive measure than FCRA [government method] estimates.\u201d<\/p>\n

Lawmakers and their constituents need to be informed of the true cost of legislation. Using archaic accounting methods that don\u2019t account for real world market risk obscures the true price tag of spending programs.<\/p>\n

The #WasteOfTheDay is brought to you by the forensic auditors at OpenTheBooks.com<\/em><\/p>\n

This article was originally published by RealClearInvestigations and made available via RealClearWire.<\/strong><\/div>\n
<\/div>\n

The post Flawed Federal Government Accounting Miscalculates $66 Billion in Cost<\/a> appeared first on The Gateway Pundit<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

This story originally was published by Real Clear Wire By Adam Andrzejewski Real Clear Wire The federal government<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[1],"tags":[],"class_list":["post-18101","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"yoast_head":"\nFlawed Federal Government Accounting Miscalculates $66 Billion in Cost - Sasquatch News Online<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/sasquatchnewsonline.com\/?p=18101\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost - Sasquatch News Online\" \/>\n<meta property=\"og:description\" content=\"This story originally was published by Real Clear Wire By Adam Andrzejewski Real Clear Wire The federal government\" \/>\n<meta property=\"og:url\" content=\"https:\/\/sasquatchnewsonline.com\/?p=18101\" \/>\n<meta property=\"og:site_name\" content=\"Sasquatch News Online\" \/>\n<meta property=\"article:published_time\" content=\"2023-09-20T16:42:30+00:00\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101\"},\"author\":{\"name\":\"\",\"@id\":\"\"},\"headline\":\"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost\",\"datePublished\":\"2023-09-20T16:42:30+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101\"},\"wordCount\":332,\"commentCount\":0,\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101\",\"url\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101\",\"name\":\"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost - Sasquatch News Online\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/#website\"},\"datePublished\":\"2023-09-20T16:42:30+00:00\",\"author\":{\"@id\":\"\"},\"breadcrumb\":{\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?p=18101#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/#website\",\"url\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/\",\"name\":\"Sasquatch News Online\",\"description\":\"Simple News Aggregator for Tall Furry Mammals\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/sasquatchnewsonline.com\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost - Sasquatch News Online","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/sasquatchnewsonline.com\/?p=18101","og_locale":"en_US","og_type":"article","og_title":"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost - Sasquatch News Online","og_description":"This story originally was published by Real Clear Wire By Adam Andrzejewski Real Clear Wire The federal government","og_url":"https:\/\/sasquatchnewsonline.com\/?p=18101","og_site_name":"Sasquatch News Online","article_published_time":"2023-09-20T16:42:30+00:00","twitter_card":"summary_large_image","twitter_misc":{"Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/sasquatchnewsonline.com\/?p=18101#article","isPartOf":{"@id":"https:\/\/sasquatchnewsonline.com\/?p=18101"},"author":{"name":"","@id":""},"headline":"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost","datePublished":"2023-09-20T16:42:30+00:00","mainEntityOfPage":{"@id":"https:\/\/sasquatchnewsonline.com\/?p=18101"},"wordCount":332,"commentCount":0,"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/sasquatchnewsonline.com\/?p=18101#respond"]}]},{"@type":"WebPage","@id":"https:\/\/sasquatchnewsonline.com\/?p=18101","url":"https:\/\/sasquatchnewsonline.com\/?p=18101","name":"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost - Sasquatch News Online","isPartOf":{"@id":"https:\/\/sasquatchnewsonline.com\/#website"},"datePublished":"2023-09-20T16:42:30+00:00","author":{"@id":""},"breadcrumb":{"@id":"https:\/\/sasquatchnewsonline.com\/?p=18101#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/sasquatchnewsonline.com\/?p=18101"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/sasquatchnewsonline.com\/?p=18101#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/sasquatchnewsonline.com\/"},{"@type":"ListItem","position":2,"name":"Flawed Federal Government Accounting Miscalculates $66 Billion in Cost"}]},{"@type":"WebSite","@id":"https:\/\/sasquatchnewsonline.com\/#website","url":"https:\/\/sasquatchnewsonline.com\/","name":"Sasquatch News Online","description":"Simple News Aggregator for Tall Furry Mammals","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/sasquatchnewsonline.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"}]}},"featured_image_urls":{"full":"","thumbnail":"","medium":"","medium_large":"","large":"","1536x1536":"","2048x2048":"","darknews-slider-full":"","darknews-featured":"","darknews-medium":"","darknews-medium-square":""},"author_info":{"display_name":"","author_link":"https:\/\/sasquatchnewsonline.com\/?author=0"},"category_info":"<a href=\"https:\/\/sasquatchnewsonline.com\/?cat=1\" rel=\"category\">Uncategorized<\/a>","tag_info":"Uncategorized","comment_count":"0","jetpack_sharing_enabled":true,"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=\/wp\/v2\/posts\/18101","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=18101"}],"version-history":[{"count":0,"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=\/wp\/v2\/posts\/18101\/revisions"}],"wp:attachment":[{"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=18101"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=18101"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sasquatchnewsonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=18101"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}