Families and businesses have budgets, yet Washington doesn’t — and it hasn’t for the last three years. Senate Majority Leader Harry Reid (D-NV) doesn’t think this major omission is that big of a deal, and the White House has no opinion on the matter. Fortunately, there are leaders in the House who see the importance of passing a budget and getting runaway spending and escalating debt under control. For Congress, the budget is an outline of how and where money will be spent across the federal government and how high …
When John F. Kennedy was President, just over a quarter of federal spending went to fund programs paying for some 21.7 million Americans to be dependent on Uncle Sam. But as high as that spending and dependence on the federal government was then, it has exploded today, with one in five Americans — more than 67.3 million — depending on Washington for assistance. The Heritage Foundation’s 2012 Index of Dependence on Government shows an alarming trend under the Obama Administration of a level of dependence on our government that has …
With debt and spending out of control, the good news is that the House Budget Committee is taking important steps toward focusing Congress on its most basic duty: budgeting. By speedily passing several budget process reform bills, Chairman Paul Ryan (R–WI) and others on his committee are moving Congress in the right direction—toward controlling spending and increasing accountability and transparency in the federal budget process. The fundamental problem with the Senate’s refusal to pass a budget for more than 1,000 days is a lack of fiscal discipline, which results in …
Despite a recent spate of good economic data, including last week’s jobs report, the U.S. economy remains deeply depressed. Don’t take my word for it. That’s how Paul Krugman, leftist econo-pundit extraordinaire, describes the economy. In a recent column in The New York Times, he wrote, “our economy remains deeply depressed.” As Krugman pointed out, given an honest appraisal, one finds that “every silver lining comes with a cloud.” And thus it is with the recent good data, which while decidedly good and will hopefully persist, nevertheless cannot disguise the …
As someone who grew up in inner-city Atlanta, I understand there are times when people need whatever help they can find. The social safety net—in conjunction with generosity from neighborhood groups, churches, charities, and private companies—can help lift Americans out of poverty and toward the path of self-reliance and individual prosperity. However, that “net” should never turn into a “hammock”—and that is what this President and his policies are allowing. What we see today with our vast social safety net is a growing and frightening dependency on the federal government, …
Yesterday, Senate Finance Committee chairman Max Baucus (D–MT) released a modified chairman’s mark on the Highway Investment, Job Creation and Economic Growth Act of 2012 (S. 1813). When combined with the other section of the bill, this draft transportation reauthorization bill would authorize the program for two years after the latest temporary extension, which expires in March. This bill does contain needed reforms, including ending earmarks and letting states decide how to spend “enhancement” dedicated dollars. However, it makes the mistake of not capturing these savings to drive spending down, …
The 2012 Index of Dependence on Government, released today, should be a wake-up call for America. Published by The Heritage Foundation for the past 10 years, the Index tracks the growth in government dependence dating back to the early 1960s. This year’s edition shows an alarming trend. Among the most troubling facts: One in five Americans—the highest in the nation’s history—relies on the federal government for everything from housing, health care, and food stamps to college tuition and retirement assistance. That’s more than 67.3 million Americans who receive subsidies from …
It is bad enough that, after more than 1,000 days since passing a budget resolution, the Senate has decided to forgo this fundamental obligation once again this year. Even worse is the absurd excuse by Majority Leader Harry M. Reid (D–NV) that a budget resolution is unnecessary because Congress already has one—in the form of the Budget Control Act (BCA). Reid and other Senate leaders contend that the spending cap in the BCA, the product of last year’s debt ceiling debate, is a sufficient proxy for a budget resolution. This …
The Congressional Budget Office (CBO) released its outlook for the federal budget last week. According to the CBO’s “Alternative Fiscal Scenario,” tax receipts will match their historical average in 2017, when revenue will be 18 percent of gross domestic product (GDP). Receipts will continue growing after that. CBO’s alternative scenario assumes the following: The Bush tax cuts remain in place for all taxpayers (even families making more than $250,000 a year); Congress raises the income threshold for the Alternative Minimum Tax so it doesn’t hit millions of middle-income taxpayers it …
The Obama Administration and the nation have cause to breathe a sign of relief as today’s monthly jobs report shows 243,000 jobs were created in January. Those numbers are of course good news, another positive sign of recovery, and another clear indication of the enduring strength of the American economy and American economic system. But, really, so long after recession’s end, we should be doing much better — and would be but for President Barack Obama’s debilitating anti-growth policies. In reality, the economy is recovering despite — not because of …
