In today's Politico, CRFB board member and former Secretary of Commerce Pete Peterson calls for a long-term solution to our national debt, which addresses the drivers of our debt, protects the vulnerable, and encourages economic growth.
On Tuesday, President Obama signed the continuing resolution funding the government for the remainder of FY 2013. As we've explained before, the bill is a hybrid, with full appropriations bills for Agriculture, Commerce-Justice-Science, Defense, Military Construction-Veterans' Affairs, and Homeland Security, and a continuing resolution for other budget categories.
Not all deficit reduction is equal. Our debt problem is primarily driven by population aging, health care cost growth, and an inefficient tax code. It's why the focus should be putting debt on a downward path toward the end of the decade and addressing entitlement and tax reform, which the sequester does not do.
In an Economix post in The New York Times, former Council of Economic Advisers chair and CRFB board member Laura Tyson argues that the sequester is poor policy for both short-term economic challenges and our long-term debt issue. The sequester both harms the short-term economy by providing too much deficit reduction in the short term, and it does not sufficiently address long-term debt issues since it doesn't touch the drivers of our debt. She says:
We've talked a great deal about how sequestration is bad policy, but that the worst outcome would be to cancel the sequester without offsets. In the Fix the Debt Campaign's new sequester deal scoring system, that is the option that would receive their "F" grade.
Yesterday, Urban Institute Fellow and CRFB Board Member Gene Steuerle tied the ability of federal and state governments to control health care costs to the ability of governments to provide quality education. According to Steuerle, the growing costs of health care in budgets across the country is crowding out value spending in other sectors, and particularly in education, since it is another major spending line in state budgets. He writes:
Responding to a U.S.
In an op-ed in today's Politico, former Fiscal Commission co-chairs and CRFB board members Erskine Bowles and Alan Simpson argue that there is a bipartisan compromise out there if lawmakers are willing to get serious about the debt.
Former U.S. comptroller general and CRFB board member David Walker writes in a Poltico op-ed about the need for lawmakers to focus on reaching a compromise on a bipartisian deficit reduction plan. He draws inspiration from the "No Budget, No Pay" provision in the debt ceiling bill, which withholds Members' salaries until their respective chamber passes a budget resolution.