It's So 1983 All Over Again


Let's party like it's 1983 all over again. From the Wall Street Journal:

The White House is considering a bipartisan commission to tackle the nation's swelling deficit, as it seeks to show resolve on a problem that threatens its broader agenda.

And The Hill:

Seven members of the Senate Budget Committee threatened during a Tuesday hearing to withhold their support for critical legislation to raise the debt ceiling if the bill calling for the creation of a bipartisan fiscal reform commission were not attached. Six others had previously made such threats, bringing the total to 13 senators drawing a hard line on the committee legislation.

And what is it this commission will reform?

Among its chief responsibilities would be closing the gap between tax revenue coming in and the larger cost of paying for Social Security, Medicare and Medicaid benefits. The Government Accountability Office recently reported the gap is on pace to reach an “unsustainable” $63 trillion in 2083.

Yup, you got that right. Trillions for the banks will be paid by cuts in Social Security, Medicare and Medicaid benefits. Oh, and that healthcare reform everyone is so excited about? Isn't this the clearest demonstration yet that it's a sop to the insurance companies?


Sean Paul Kelley November 25, 2009 - 9:44am
( categories: Economics: USA )

Something like this happens. A fun way to handle this is to out-Obama Obama. Agree that the deficit is out of control and costs need to be reigned in, then start with figuring out how to pay for the surge in Afghanistan. Repeal Bush tax cuts? Have a higher ceiling on the top rate? Take capital gains taxes to 25% until the war ends?

If we are going to talk about deficit crisis in the USA, let's talk about ALL our debts, not just the ones that help our citizens. How much does the war on drugs cost each year? How is the financial industry going to pay us back for the TARP? Exactly what is the Fed's balance sheet these days?

I for one would love to have a full accounting of USA deficit.

zot23 November 25, 2009 - 11:07am

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