Simpson-Bowles 2.0

[soulflower]

So many debt-reduction plans. Not enough Job creation plans:

The leaders of President Barack Obama’s 2010 deficit commission are offering a $2.4 trillion plan to reduce the debt over the next 10 years.

They issued their proposal today as Democrats and Republicans are feuding over how to halt $1.2 trillion in across-the-board spending cuts set to begin March 1.

http://www.bloomberg.com/news/2013-0...debt-plan.html

[SemiAuto]

It would be a start but there are plenty of reasons to believe it won't happen.

Under the new Bowles-Simpson proposal, one quarter of the deficit reduction would come from health-care changes including lower payments to Medicare and Medicaid providers and higher Medicare premiums for top earners.

This sounds like the doc fix promise that keeps getting made yet never kept.

Additional savings would come from using a revised inflation gauge to slow the growth in Social Security cost-of- living payments. In addition, farm subsidies would be reduced and federal pensions would be cut back, including those for the military.

Good luck getting SS reform past seniors who have a high tendency to vote. Farm subsidies and defense spending are big pieces of bacon that both parties like to take home.

The 2010 plan called for clamping down scores of tax breaks that allow taxpayers to write off items such as mortgage interest and retirement savings.

Good luck with the mortgage deduction. Tax breaks on retirement savings are debatable. Ideally people should save for retirement on their own but the reality is far different.

Regardless of the benefits of the plan there are too many oxen to be gored here. I'll bet it won't happen.

[Brohan]

So many debt-reduction plans. Not enough Job creation plans:

Those green energy jobs should be coming any day now. Hold your breath.

[flyboy56]

So many debt-reduction plans. Not enough Job creation plans:

It is the debt that is strangling the economy. Decreasing it will improve the economy and create jobs. It may hurt for a bit but will be better for US in the long run.

[soulflower]

It is the debt that is strangling the economy.

No it isn't...

[flyboy56]

A Better Inflation Gauge Shows Why Inflation's Much Worse

http://www.dailyfinance.com/2012/03/...ns-much-worse/

[flyboy56]

No it isn't...

How the United States’ High Debt Will Weaken the Economy and Hurt Americans

America is on a dangerous budget path. Current spending and debt are dangerously high, and future spending and debt are on track to rise even higher in large part due to increasing entitlement spending. Academic research shows that advanced economies like the United States are at risk of significant and prolonged reductions in economic growth when public debt reaches levels of 90 percent of GDP. High public debt threatens to drive interest rates up, to crowd out private investment, and to raise price inflation. The implications would be severe and pronounced for all Americans, but most especially for the poor, the elderly, and the middle class. U.S. policymakers should learn from Greece and Japan and avoid a fiscal crisis and economic stagnation brought about by public debt overhang.

http://www.heritage.org/research/rep...hurt-americans

[SemiAuto]

No it isn't...

... or maybe it is.

[soulflower]

... or maybe it is.

What's hurting growth is lack of Demand

The number one problem that is preventing Business investment is the lack of Demand

[regularguy]

I was for their plan a few years back, and I'm still in favor of it. Seems like a fair compromise for both sides.

Time for Obama to lend his support, since he won't be running for office again.

[flyboy56]

What's hurting growth is lack of Demand

The number one problem that is preventing Business investment is the lack of Demand

You really need to start contributing links to support your opinions.

[flyboy56]

I was for their plan a few years back, and I'm still in favor of it. Seems like a fair compromise for both sides.

Time for Obama to lend his support, since he won't be running for office again.

Obama is in full fear campaign mode. He doesn't have time to sit down an negotiate with congressmen.

[SemiAuto]

What's hurting growth is lack of Demand

The number one problem that is preventing Business investment is the lack of Demand

Sure, but you still have an economy that needs to deleverage. That is going to put a damper on demand. Everyone is so busy trying to avoid a recession that they don't realize that one is probably necessary to clear out the dead wood and get the productive producing again.

[SemiAuto]

I was for their plan a few years back, and I'm still in favor of it. Seems like a fair compromise for both sides.

Time for Obama to lend his support, since he won't be running for office again.

The problem here being that various congress/senate critters do want to run for office again.

Take VA Governor McDonnell for example. We can talk about military cuts that need to happen but he doesn't want it to happen on his watch lest he get the blame for it and voted out of office. So much for the fiscal restraint of the GOP, eh?

[RIKMAN]

What's hurting growth is lack of Demand

The number one problem that is preventing Business investment is the lack of Demand

And why should there be lack of demand?

Unemployment is less than 8%, the economy is creeping forward and prosperity in the ObamaNation is just around the corner.

I would think demand would be picking up! So why is it that demand is lacking? Tell me

[SemiAuto]

FWIW: Some cuts don't heal. In short, some left wingers agitate against entitlement cuts.

Everybody wants to cut somebody elses pet project but not their own. So the politicians set their special interests against each other and the ones with the best K Street boys end up fleecing everyone.

SSDD