Saturday, November 17, 2012

Government Spending

Suzy Khimm posted a new blog post at Ezra Klein's Wonkblog examining Federal spending projections.  The post uses data from five think-tanks commissioned by the Peterson Foundation to come up with their own plans for reducing the deficit over 10 and 25 years: the Center for American Progress and the Economic Policy Institute on the left; the American Action Forum and the Heritage Foundation on the right; and the Bipartisan Policy Center in the middle.  Here's the relevant chart:


There are two interesting points.  First, that expenses will skyrocket if `we don't do anything (current policy).  Secondly, that the sequester (current law) actually fixes the issue.

The debate now isn't really about whether there will ultimately be cuts like this - there likely has to be something similar at some point.  The point now is who pays and when.

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