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CBO to Congress: Reform Entitlements Now or the Economy Dies!
Posted By Conn Carroll On May 20, 2008 @ 7:34 pm In Economics | Comments Disabled
At the request of the Ranking Member of the House Budget Committee Rep. Paul Ryan (R-WI), the Congressional Budget Office (CBO) released a letter  (pdf) today detailing the grave fiscal situation our country will be in should Congress fail to reform Social Security, Medicare, and Medicaid now.
Already Social Security and Medicare consume 7.5% of our GDP. Unless changes are made that figure will jump to 13% by 2030.  There are three basic alternatives Congress has to address this problem:
Heritage Senior Fellow Dr. JD Foster comments: “Budget analysts and commentators across the political spectrum have worked hard to explain and to establish beyond a shadow of a doubt that the nation’s big three entitlement programs – Social Security, Medicare, and Medicaid – are unsustainable and must be reformed. This letter from the Congressional Budget Office to Congressman Ryan puts an emphatic exclamation point on this work. The CBO analysis makes clear and indisputable the economic calamity that will befall the nation if congressional inaction continues. The entitlement programs represent an avoidable disaster, but Congress must act to avoid it.”
Article printed from The Foundry: Conservative Policy News Blog from The Heritage Foundation: http://blog.heritage.org
URL to article: http://blog.heritage.org/2008/05/20/cbo-to-congress-reform-entitlements-now-or-the-economy-dies/
URLs in this post:
 letter: http://www.cbo.gov/ftpdocs/92xx/doc9216/LongtermBudget_Letter-to-Ryan.pdf
 Unless changes are made that figure will jump to 13% by 2030.: http://www.heritage.org/Research/Budget/wp0408.cfm
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