"To address both the near- and longer-term issues, the Congress and the administration should consider replacing the sharp, front-loaded spending cuts required by the sequestration with policies that reduce the federal deficit
more gradually in the near term but more substantially in the longer run," Bernanke said.
Without that offset, the DATA Act, despite its strong bipartisan support, might not pass the House because it would add to the federal deficit
. An Issa spokesperson says he expects the House to pass the bill sooner rather than later.
Social Security did not contribute one dime to the federal deficit
, so it should not be cut to fix it.
President Obama barely had finished outlining his plan to cut federal deficits
by more than $3 trillion over 10 years before Republicans began denouncing it as "class warfare."
Thus, overall, 85% of Americans explicitly favor spending cuts as at least part of the solution to reducing the federal deficit
, with more than half of these favoring only or mostly using cuts.
This trigger would go into effect if the federal deficit
isn't on a declining path in terms of its share of GDP by 2014, and will institute across-the-board spending reductions.
So the next time you share your outrage over the size of the current federal deficit
, the terrible economic climate, or the threat to our free-market system and way of life, consider the real crime of federal economic irresponsibility is that we ran deficits during the long periods of peace and economic prosperity in the 80s, 90s and 2000s.
for the just-completed 2010 budget year at nearly $1.3 trillion.
marked a record high of $1,417.1 billion in fiscal 2009 ended last September as life-supporting measures for the banking industry amid the financial crisis boosted spending.
In fiscal year 2009 the overall federal deficit
reached 9.9 percent of GDP--the largest since 1945, and the deficit is expected to decline only slightly in 2010.
Congressional budget referees say Senate legislation that is now the foundation for President Barack Obama's healthcare plan would cut the federal deficit
by $118 billion over 10 years.
Without getting too political I would like to take issue with something Michael Nickerson said about the federal deficit
in his commentary in Volume 14 issue 2.