Perhaps most notably, determined efforts to reduce budget deficits over the long run--such as the Gramm-Rudman-Hollings Act
and the Budget Control Act of 2011--dissipate in fairly short order.
As of mid-September, Congress was debating changes to the Gramm-Rudman-Hollings Act
to strengthen the enforcement mechanisms and raise the target deficits.
He argues that the deficits that were projected before the Gramm-Rudman-Hollings Act
and the 1985 Congressional Budget Resolution could radically overheat the economy.
However, a careful review of the experiences after the 1974 congressional budget reform and the Gramm-Rudman-Hollings Act
would suggest the difficulty of solving the deficit problem through institutional reforms of Congress and the paramount importance of politics in congressional budgeting.
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.
The third and potentially most damaging measure is the Gramm-Rudman-Hollings Act
. Although it was declared unconstitutional by the Supreme Court, the act fed budget-balancing fever, which Congressional sources warn, could lead to a further cut in U.N.