Wednesday opinion, the "balanced budget" edition.
NY Times:
The chairmen of President Obama’s debt-reduction commission have been unable to win support from any of the panel’s elected officials for their proposed spending cuts and tax increases, underscoring the reluctance of both parties to risk short-term political backlash in pursuit of the nation’s long-term fiscal health.
But... but... it's bipartisan! That makes the catfood commission just perfect in every way! And hypercompetent and evidence based and dressed for success! Right?
NY Times/Room for Debate, Jacob Hacker:
Fortunately, it’s possible to tackle the deficit without exacerbating inequality. Unfortunately, leading current proposals are virtually guaranteed to do the opposite, for three reasons:
- Premature Restraint...
- Excessive Emphasis on Spending...
- Tax Proposals that Increase Inequality...
NY Times/Room for Debate, Chad Stone (CBPP):
The proposed deficit reduction package from the co-chairs of the president’s fiscal commission (former Clinton White House Chief of Staff Erskine Bowles and former Republican Senator Alan Simpson), with its skewed balance toward spending cuts and arbitrary limit on revenues, falls far short of the ideal. So does the more balanced Bipartisan Policy Center plan (former Senate Budget Committee Chairman Pete Domenici and former White House Budget Director and Federal Reserve Vice Chair Alice Rivlin), with its problematic health care proposals. The alternative offered by Demos, the Economic Policy Institute and the Century Foundation is more progressive but achieves less deficit reduction. At the other extreme, the plan offered by incoming House Budget Committee chairman, Representative Paul Ryan would aggravate inequality.
Katrina vanden Heuvel:
In a November letter to President Obama, a group calling itself Patriotic Millionaires for Fiscal Strength argued that the wealthiest Americans do not need, and should not be given, an extension on tax cuts that have done next to nothing to improve broad economic prosperity. "We are writing to urge you to stand firm against those who would put politics ahead of their country," the letter's authors write. "Now, during our nation's moment of need, we are eager to do our fair share."
Signers include a number of early Google executives as well as leaders of companies such as Ben and Jerry's, Men's Wearhouse and Princeton Review. They aren't the first group of ultra-wealthy people to signal discomfort with senseless fiscal policy designed to benefit the top 2 percent. A group of 700 business leaders and individuals known as Responsible Wealth have called the Bush tax cuts "irresponsible" and "downright inexcusable." Bill Gates Sr. and Warren Buffet, of course, have also called for a change in priorities.
George W. Bush:
I am happily out of the political business. But I can offer some friendly advice to members of Congress, new and old. A thousand pressing issues come with each day. But there are only a few that you will want to talk about in retirement with your children. The continuing fight against global AIDS is something for which America will be remembered. And you will never regret the part you take.
No one is more delighted than I am that you are out of the political business (and 70% of the country agrees with me), but I nonetheless agree with this column.
And in honor of the former President and chief economy wrecker, this is from the Onion in 2004:
Bush To Cut Deficit From Federal Budget
President Bush proposed a $2.4 trillion election-year budget Monday that would boost defense spending, redistribute funds among government programs, and cross out the $477 billion deficit entirely. ...
In the past, critics have accused the Bush Administration of responding to a mounting deficit and the ongoing recession with unsound fiscal policies like cutting taxes for the wealthy. Bush supporters say the deficit cut proves the wisdom of the president's economic plan.
"Bush has taken a brave step, one that was long overdue," Senate Majority Leader Bill Frist (R-TN) said. "He has taken charge of the budget problem once and for all, simply by saying 'The deficit stops here.'"
Faced with the difficult choice of either cutting government programs or raising taxes, Bush reportedly arrived at the radical new "deficit-cutting" solution late Sunday night, only hours before he was to announce his budget.
Republican proposals have made no progress since then.