WASHINGTON — The Obama administration on Tuesday heralded the hard-fought deal to avert the so-called fiscal cliff as a bipartisan breakthrough that “cuts the deficit and reduces the debt as a share of the economy over the next five years.”
But unless Congress and the White House allow the mandated cuts to proceed in two months or identify more revenue, the net effect will be to increase the deficit over the next decade — by nearly $4 trillion, according to one official estimate. And the pared-down package will do little to solve the government’s long-term fiscal challenges, according to current and former government financial managers.
Comments
No leadership - Obama, Boehner, Pelosi, Reid, McConnell. Zero.
While I agree that this legislation does nothing to solve the deficit, this article ignores both the real drivers of the deficit, and a more ethical manner in which it could be solved...if only our government (and far too much of our media) wasn't captured by an ideology created by and designed to serve the wealthy. Instead of cutting entitlements, which means that people pay into these programs and are entitled to receive their benefits, we should cut the real waste in government and raise revenue fairly. Rum subsidies? Chump change. How about oil subsidies to the most profitable industry ever known on earth, which pays little taxes despite the havoc fossil fuels create? Cutting Social Security? How about closing offshore tax havens instead, where trillions of dollars are stashed? There's so much more we do that would be both pragmatic and ethical.
There are indeed many ways to reforms entitlements. One never hears the media expound upon the desirability of melding Obamacare and Medicare as a means to increase cost effectiveness. With Obamacare you can mitigate raising the medicare eleigibility age to 67. Having reached 65 I switched from BC/BS to Medicare with a large savings in cost. I would've been happy to split the difference right there in and of itself the govt. lost a potential 2000.00 per year. Unhappily the pols on both sides refuse to present to the American people real solutions to their problems but instead throw out ideological tidbits which go nowhere in terms of educating the public on budgetary problems.
Democrats will keep on spending, especially now that they got the Republicans to caved. Unless we cut spending also, we will never get out of this. The amount of revenue just doesn't cover the spending that just keep increasing.
I respectfully disagree. I am trying to think of one major bill Republicans have pushed through with their Tea Party pledges that has really cut sending. How much does it cost to send members of Congress home every weekend? Why do we need a House Chaplin? The "real" Republicans like Bob Dole and Al Simpson stayed in Washington on weekends, working across the hall with Ted Kennedy, for examplePlz the Dems are to blame for plenty, but my friends in the Republican Party have egg on their face right now. Republicans Are Spenders!
My opinion, both Repubs and Dems will do what they need to in order to get re-elected. and the U.S. voters right now are much more interested in what they can get from the federal government than balancing the budget. Basically the average voter out there is ok with robbing their kids piggy banks ( and stuffing a $100K promissory note for the kid to pay off ).
I truly beleive the Socialist Adminisration of Obama is dedicated to destroying the United States. Raising taxes in this pitful economy is fiscal suicide and totally irresponsible! Oh! but he didn't forget to give the congress a raise and take his four million dollar vacation in Hawai! Did he? Does anybody realize the serious implications of our fiscal debt? The American people have to keep a budget. The imbeciles in congress don't feel like they have to have one any day soon! The irony is it's not even their money! Just think you Obame lovers, this is just the beginning of high taxes, disgraceful unemployment, small business's closing, and more people on welfare,food stamps, and ETB cards. Think! if you can? what Obama promised five years ago. How's that working out for you? By the way, thanks Scott Brown for caving in on your so-called Republican values. When to the Rhino club! I don't even want to think about the next three years! What are we going to do? Sell Florida or California to China to reduce our debt. Gee! that will leave us with only 10 trillion dollars. What a deal!!
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f"or example, the bill extends tax deductions for teachers buying certain classroom supplies, for college tuition, and for research into wind power and other new energy sources. The bill also approved special deductions for film and television productions.
In another example of business as usual, the bill also extends for two years a program under which rum manufacturers in Puerto Rico and the US Virgin Islands are reimbursed for most of the tariffs levied on liquor imports.
The variety of such special-interest sweetener."..Yes, this is certainly BUSINESS AS USUAL for the Obama Administrsation. And for the 10 MA House Democrats who all voted for the bill...And the author of this article thinks that there will be pressure for spending cuts.? The only spending cuts Barack Obama wants is to the US military. Right down to ZERO.