Overview for budget

A Budget Plan for the Political Center

The President has raised the curtain on his deficit reduction plan. Now the issue between the two parties is squarely joined. On one side, the GOP, pledged to the Ryan plan, the most radical redefinition of government from the right since 1964. On the other side, the President, offering the …

Written by David Frum on Monday September 19, 2011

The Right and Wrong Ways to Cut Defense Spending

CNN’s Fareed Zakaria has a column today arguing for defense cuts and lauding the budget deal’s “sword of Damocles” over the Pentagon budget. Zakaria argues that the U.S. military should not be exempt from budget scrutiny and, in that sense, his argument is unobjectionable. But he ignores …

Written by John Guardiano on Thursday August 4, 2011

Deal Will Come, but May Disappoint

Confusion usually reigns in Washington, D.C., negotiations just before a solution emerges. Small signs can signal big things to come. Confusion usually reigns in Washington, D.C., negotiations just before a solution emerges. Thus, small signs can signal big things to come. As Federal Reserve …

Written by Steve Bell on Wednesday July 13, 2011

America's Debt Bill Comes Due

Politicians are jockeying for position as the bill comes due on our gaping national debt. But without an agreement soon, we'll all be stuck with the check. Politicians are jockeying for position as the bill comes due on our gaping national debt. As I explain in my latest column for The Week …

Written by David Frum on Thursday June 9, 2011

GOP Rallies Support For Budget Reform

Calls for Congress to adopt a two-year budget process first emerged decades ago. But now Republicans are seriously pushing the idea in the debt limit talks. Republicans in Congress have begun to force talks on budget process reform, starting with instituting a two-year (biennial) budget, …

Written by Steve Bell on Wednesday June 8, 2011

T-Paw Needs More Than Google to Cut Deficit

Tim Pawlenty’s “google test” is a pretty good idea. But it’s not likely to save lots of taxpayer money or significantly cut the size and scope of government. I like Tim Pawlenty’s economic plan a little better than David Frum . Although they aren’t revolutionary, I’m happy to cheer for most of …

Written by Eli Lehrer on Wednesday June 8, 2011

GOP Now Owns the Debt Crisis

After the House's clean debt vote, one thing is clear: any negative fallout from the debt battle will be laid at the GOP's feet. The House of Representatives overwhelmingly defeated the motion to pass a “clean” increase in the United States’ federal debt limit last night. No surprise, right? …

Written by Steve Bell on Wednesday June 1, 2011

GOP Running Out of Time to Win Debt Fight

The clean debt limit vote has predictably failed. But by wasting time on political games, the GOP may have run out of time to cut the long-term spending deal they want. The clean debt limit vote has predictably failed. Of course, it wasn’t the best conceivable option. A debt ceiling increase …

Written by Andrew Pavelyev on Wednesday June 1, 2011

Budget Ahead for Disaster Relief

Eric Cantor is right that Missouri's disaster relief should be offset by other cuts. But a one-time offset isn’t enough: we need a permanent fund to pay for disaster relief. Eric Cantor is right to insist that disaster relief payments to Missouri and other tornado-damaged locales be offset with …

Written by Eli Lehrer on Tuesday May 31, 2011

Want Big Budget Cuts? Weaken the Dollar

Republicans promise that rapid action to cut government spending will return us to prosperity. But their approach may not work if they also call for a strong dollar. Republicans promise that rapid action to cut government spending will lead to a quick return to prosperity. They have some …

Written by Tessa Berenson on Tuesday May 31, 2011

Slow Growth Numbers Call for Smaller Cuts

If Republicans want to seize the upper hand after today's lackluster growth numbers, they will propose a series of more realistic and politically palatable cuts. The okay-but-not-great economic numbers (1.8% economic growth) posted yesterday offer talking points for both Democrats and Republicans. …

Written by Eli Lehrer on Thursday May 26, 2011

U.S. Can't Cut Its Way to Growth

Many countries have cut spending, reduced deficits and realized healthy economic growth. But there's a lot more that needs to happen for it to work in the U.S. In a recent blogpost debunking claims that reducing government spending always leads to a quick economic recovery, Frum Forum 's Noah …

Written by Eli Lehrer on Thursday May 26, 2011

Why Voters Aren't Buying the Ryan Plan

CBO projects that by 2030 Ryan's vouchers would cover only 30% of the cost of an insurance policy equal to Medicare today. And the GOP thinks voters will back that? A footnote to the above posting regarding the Ryan budget plan. The Ryan plan does maximum damage to Republicans because of its …

Written by David Frum on Wednesday May 25, 2011

GOP's New Line: Budget Cuts Bring Boom Times

Many in the GOP are convinced that immediate and significant spending cuts can cause significant economic growth. But does this claim hold up? The open seat in NY-26 has gone to the Democrats, yet some conservatives still argue that despite its political unpopularity the GOP budget needs to be …

Written by Noah Kristula-Green on Wednesday May 25, 2011

GOP's Clean Debt Vote Won't Fool the Dems

If the GOP continues to substitute theatrics for substantive spending proposals the Dems will end up getting the debt ceiling increase and a lot of political capital. The House proposal for a "clean" debt vote is pure political theater. Given the way the House works, leadership almost never …

Written by Eli Lehrer on Tuesday May 24, 2011

Debt Fight Could Give Obama More Budget Powers

Even if the Treasury were to pay bondholders while withholding other payments, does the GOP realize the authority they would be giving Obama over the entire budget? Some Republicans suggest that there's no special need to worry about hitting the debt ceiling: after all the Treasury will still …

Written by David Frum on Monday May 16, 2011

Is Boehner Ready for the Budget Backlash?

Republicans may have signed up for the fight of a generation, without understanding how much is at stake - or how fierce the resistance is likely to be. Here's another bit from Speaker Boehner's Thursday speech to the Economic Club of New York that commands some attention: There's another …

Written by David Frum on Sunday May 15, 2011

Toomey's Budget: Too Good to Be True

Sen. Toomey's budget proposal promises a budget surplus achieved painlessly through a combination of tax cuts and spending increases. It's not going to happen. I am mightily impressed by Sen. Toomey’s budget proposal. It promises to achieve a budget surplus and, most importantly, it does that …

Written by Andrew Pavelyev on Thursday May 12, 2011

Don't Link Debt Deal to Budget Amendment

Many conservatives are floating the idea of linking balanced budget amendment as the price for raising the debt ceiling. But this approach has some serious problems. More than a few conservatives are floating the idea that the passage of a balanced budget amendment should be the price for …

Written by Eli Lehrer on Monday May 9, 2011

GOP Freshmen: Job Numbers Still Too Weak

GOP freshmen were dismissive of Friday's report that the economy had added jobs. Instead, they pushed the White House to do more to boost the recovery and cut energy prices. Friday’s unemployment numbers were greeted almost unanimously by discontentment from freshmen Republican Congressmen over …

Written by Tim Mak on Saturday May 7, 2011