Tax Notes, Vol. 137, No. 1, 2012
Many decry the fact that policymakers are nowhere close to addressing the long-term fiscal shortfall and as evidence they point to the Congressional Budget Office’s projection of enormous long-term deficits under current policy. This report contends that the minimum deficit reduction incorporated in leading progressive and conservative budgets can put us on a path toward closing the long-term deficit. A significant gap would remain even if consensus were fully realized. However, this report describes a plausible path for further cutting the long-term deficit, as well as important revenue and spending backstops. Finally, it explains that while the country can and should try to reach a fiscally sustainable path, because of the uncertainty surrounding many of those reforms — especially the restructuring of the healthcare system — we cannot expect an immediate solution.
Date of Authorship for this Version
federal deficit, budget, tax, spending
Kamin, David, "Are We There Yet?: On a Path to Closing America's Long-Run Deficit" (2012). New York University Law and Economics Working Papers. Paper 319.