The Bottom Line

March 23, 2011

Meet Edna, a 75-year-old fictitious senior citizen. In the third installment of our "Meet the Generations" series, we take a look how policymakers' action (or inaction) could affect her life, as outlined in CRFB's March 10 paper "America's Fiscal Choices at a Crossroad: The Human Side of the Fiscal Crisis".

March 23, 2011
The Case for the Deficit Panda

In her recent column, Ruth Marcus, of The Washington Post declared:

“Don’t call me a deficit hawk. Call me a deficit panda.”

Seeking a cuddlier image for the mantle of fiscal responsibility, she continues:

March 23, 2011

Students at Stanford University, under the guidance of Comeback America Initiative (CAI) CEO and CRFB board member David Walker, have developed a Sovereign Fiscal Responsibility Index (SFRI) in an attempt to compare the quality of fiscal policy across different countries. The study, unsurpringly, does not contain good news for the US.

March 22, 2011

One year ago on Wednesday, the health care reform legislation (or PPACA, the Patient Protection and Affordable Care Act) was passed by Congress. Technically, the President didn't sign the legislation into law until March 30 last year, but tomorrow is close enough. We just couldn't wait to update our charts.

March 22, 2011

In a new paper released by The Pew Charitable Trusts, George Mason University Professor (and Peterson-Pew Commission consultant) Paul Posner addresses the question "Will It Take a Crisis?".

March 21, 2011

Last week, CBO showed that the President's Budget was way too optimistic about its projections of deficits and debt. But CBO's findings would not have surprised readers of The Bottom Line, who saw us try to predict what the budget would look like using the parameters of CBO's January baseline and getting rid of the unspecified offsets for increased transportation spending and the doc fix.

March 21, 2011

In her latest commentary for CNN Money, CRFB president Maya MacGuineas expresses increasing - but still cautious - optimism about the possibility of a comprehensive bipartisan fiscal reform package in Washington.

March 21, 2011

Along with CBO's preliminary analysis of the President's Budget on Friday came an update in CBO's baseline, which actually shows a $234 billion reduction in deficits over the 2012-2021 period compared to its January baseline. It also shows an $81 billion reduction in the deficit this year, meaning that they project the 2011 deficit to not be an all-time high.

March 21, 2011

Madness in Washington – The down-to-the-wire finishes, Hail Marys and upsets in DC weren’t confined to the Verizon Center. Capitol Hill is experiencing its own madness. On Friday President Obama signed the sixth continuing resolution (CR) to keep the federal government operating just as the previous stopgap measure was about to expire. With the clock now reset to April 8, will the two sides change their strategy of lobbing shots from half court and mix it up in the paint to score an agreement on funding the government for the rest of the year?

March 18, 2011

Earlier today, the Congressional Budget Office (CBO) released its preliminary analysis of President Obama’s FY2012 budget request. In conjunction with CBO’s release, we have published a paper that looks at the President’s budget in the context of CBO’s most recent analysis. In it, we explore the differences between CBO and OMB estimates, the factors contributing to these differences, and what all of this means for our fiscal outlook.

March 18, 2011

Today, a bipartisan group of 64 Senators sent a letter to President Obama urging him to show leadership on reducing the federal deficit and to take a broader approach in addressing our nation's fiscal problems.

March 18, 2011

CBO has just released their preliminary analysis of the President's Budget. Be sure to check back to CRFB and The Bottom Line soon for more analysis and commentary.

March 18, 2011

Rep. Gary Peters (D-MI) and Rep. Cory Gardner (R-CO) have introduced bipartisan legislation that would force Congress to hold an up-or-down vote on the President's proposed terminations and reductions each year. The President submits recommendations for program cuts in each annual budget proposal, but Congress rarely acts on them.

March 18, 2011

This article was originally published by TIME Magazine.

March 17, 2011

U.S. Interest Rates:  What is "Normal"? Throughout the week, worried investors once again turned to U.S. Treasury instruments as safe haven investments. This time, investors reacted as fears mounted over the effects of Japan’s nuclear reactor crisis on the Japanese and global economies. Starting the week around 3.40 percent, the yield on the benchmark 10-year Treasury bond dipped below 3.20 percent on Wednesday (the 16th), the lowest point since December.

March 17, 2011

Meet Keisha, the 6-year-old fictional member of the Gen-Web generation “profiled” in our "Meet the Generations" series, based on CRFB's "America's Fiscal Choices at a Crossroad" paper.

March 17, 2011

Yesterday Rep. Jan Schakowsky (D-IL) introduced a proposal to raise federal taxes for very high-earners - The Fairness in Taxation Act. The proposed legislation enacts new tax brackets for income starting at $1 million and ends with a $1 billion bracket. The legislation also taxes capital gains as ordinary income for individuals with an annual income of over $1 million. According to Rep.

March 17, 2011

Yesterday, a group of 23 Republican Senators sent a letter to President Obama stating that any further increases in the debt limit should be accompanied by action on reducing the deficit, citing the need to embrace entitlement reform to protect current and future generations. They stated that "without action to begin addressing the deficit, it will be difficult, if not impossible, for us to support a further increase in the debt limit." (See below for a full copy of the letter.)

March 16, 2011

Meet Nick, a 24 year old Millennial. In the first installment of our "Meet the Generations" series, we take a look at how the life of Nick (a hypothetical person) will be affected by the fiscal choices our leaders are making now, based on the alternative futures scenarios in CRFB's new paper "America's Fiscal Choices at a Crossroad: The Human Side of the Fiscal Crisis".

March 16, 2011

Update: Adam Looney of The Hamilton Project participated in today's chat in place of Bill Frenzel - still a very interesting read, check it out below!

Today at 12:30pm, former Congressman Bill Frenzel will be participating in a live chat to answer questions about the on-going budget negotiations. David Mark, senior editor at Politico, will moderate the discussion.

Syndicate content