Thursday, September 08, 2011

Why I'm Pessimistic

Last month, a big deal was made about a deal to raise the debt ceiling, which involved a major concession by Obama: $917 billion in spending cuts over 10 years. A special committee of lawmakers would be charged with finding another $1.5 trillion in deficit reduction, which could come through a tax overhaul and changes to safety-net programs. That included only $22B in fiscal 2012.

Tonight, Obama just added about $100B in spending for FY2012, as well as tax cuts and more spending in future years. Next time there's a debt ceiling stalemate, Obama should promise to cut spending by $10 trillion in future decades.


JoshK said...

They should have said it's 100T (over 1,000 years). Might sound even better.

Quantivity said...

Have you read Koo? Curious what you think of his perspective?