« Steve Pearlstein Misses the Point (Again) | Main | When the Government Runs a Business, Part III »

Tax Increases vs. Spending Cuts

As the WaPo and the Grey Lady blur into sameness, here's this lead editorial from yesterday's WaPo about our dire financial condition:

"Under the realistic budget scenario, to keep the debt to GDP ratio stable over the next 25 years would require immediate and permanent tax increases or spending cuts of about 5 percent of GDP. That is a significant amount, equivalent to about one-fifth of all non-interest government spending this year."

Today's NY Times' lead editorial on the same topic is decidedly anti-Republican, but concludes thusly:

"[T]here is no way to fix the nation’s fiscal crisis without higher taxes now and in the future — and cuts in entitlement programs down the road."

So here's a little civics quiz: Given the choice between a cut in government spending equal to 5% of GDP or tax increases of the same magnitude, which do you think Congress will choose...?


TrackBack URL for this entry:

Post a comment

(If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)

Enter your email address:

Delivered by FeedBurner


This page contains a single entry from the blog posted on August 1, 2010 9:36 AM.

The previous post in this blog was Steve Pearlstein Misses the Point (Again).

The next post in this blog is When the Government Runs a Business, Part III.

Many more can be found on the main index page or by looking through the archives.

Powered by
Movable Type 3.33