Kicking It Down the Road ...Again
Here we go again.
The House of Representatives has joined the Senate in extending the Bush tax cuts for most Americans. We have avoided the dreaded "fiscal cliff." But at what price?
Every working American (not just the high earners) will pay more in payroll taxes. A lot more, in some cases. And the deal extends unemployment benefits for a year.
More taxes for people who do work; more benefits for people who can't, or don't.
I have read that the Congressional Budget Office has determined that the deal includes $41 in tax increases for every $1 in spending cuts.
Debt limit: We've reached another ceiling. President Obama will insist that Congress raise the ceiling.
Sequester: Congress has delayed a scheduled $1.2 billion in spending cuts for two months.
Federal budget: the current spending authorization will expire on March 27. The Senate hasn't passed a spending plan in years.
Congress hasn't solved or settled anything. It has simply kicked the can down the road. Again.