FLASHBACK: Obama's Budget Called for Doubling Publicly Held Debt Over 10 Years

By Terence P. Jeffrey | July 29, 2011 | 11:22 AM EDT

President Barak Obama, shown here delivering a prime-time speech on the debt ceiling and deficit reduction, appeared before a Hispanic civil rights group earlier in the day on Monday, July 25, 2011. (AP Photo)

(CNSNews.com) - As President Barack Obama casts aspersions on the Republican-controlled House of Representatives for seeking to significantly cut and cap federal spending in exchange for increasing the legal limit on the national debt, one simple fact is worth remembering: The budget Obama proposed to Congress this year called for doubling the publicly held debt of the U.S. government over just the next 10 years.

This fact was recorded in plain English by the Congressional Budget Office in the analysis of Obama' s budget proposal that it published on April 15.

"Under the President's budget, debt held by the public would grow from $10.4 trillion (69 percent of GDP) at the end of 2011 to $20.8 trillion (87 percent of GDP) at the end of 2021, about $2.8 trillion more than the amount under CBO's baseline projections," CBO reported.

"Outlays for net interest would nearly quadruple between 2012 and 2021 in nominal dollars (without an adjustment for inflation)," said the CBO analysis, "they would swell from 1.7 percent of GDP in 2012 to 3.9 percent in 2021."

The publicly held debt is that part of the federal government's overall debt that is in publicly traded Treasury securities, including Treasury bills, notes and bonds. The remainder of the federal debt is in non-publicly-traded "intragovernmental" securities that are essentially IOUs the Treasury has issued to government trust funds--such as the Social Security trust fund--when it has spent the tax revenue coming into those trust funds on current government expenses.