Comparison of Washington Debt Ceiling Proposals

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Comparison of Debt Ceiling Proposals

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  1. Pancho says:

    The US either has to coohse. Does it want a Federal Government on the scale of a European country, if so, then taxes will have to go up to attempt to sustain it, and will correspondingly hit growth? Or does it want a Federal Government on the scale that the Founding Fathers envisaged, in which case it is time for the Feds to wean the country off of unfunded Social Security, Medicaid and Medicare commitments, eliminate corporate welfare from farms to green businesses to the automotive sector and more. However, neither major party is willing either to hike taxes or cut spending, but it doesn’t mean that they can evade it. The Democrats are as scared of making people pay for the status quo as the Republican are of seriously cutting spending to stay within the current revenue envelope. Of course, major simplification of the tax system and replacing the panoply of deductions with general lower rates across the board would help growth, but it doesn’t help politicians elected on the basis of maintaining pork.


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