Gramm-Rudman-Hollings Act


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Gramm-Rudman-Hollings Act

Legislation in the United States, passed in 1985, that mandated automatic cuts in federal discretionary spending if the government deficit rose above stated target levels. The severity of the cuts was considered draconian and the Act was found largely unconstitutional in 1987. It was replaced by the Budget Enforcement Act of 1990.
References in periodicals archive ?
As of mid-September, Congress was debating changes to the Gramm-Rudman-Hollings Act to strengthen the enforcement mechanisms and raise the target deficits.
When Congress enacted what became known as the Gramm-Rudman-Hollings Act 9 months ago, it was believed that a course had been found to bring the Federal deficit under control.
As was pointed out in the April "Business Situation," it is likely that the first-quarter decline reflected to some extent the reductions made to comply with the Balanced Budget and Emergency Deficit Control Act of 1985, better known as the Gramm-Rudman-Hollings Act.