Late on Friday, August 5, Standard & Poor’s (S&P) downgraded the United States credit rating from AAA, and really best in class, to AA+. In one fell swoop, S&P sent two separate and powerful messages. First, as The Heritage Foundation and many others warned, the spending reductions in the deal… Read more
According to Harold Camping, May 21, 2011, was supposed to be Judgment Day. It was, in a sense. As the day came and went, the world judged Mr. Camping’s 15 minutes of fame were up. Treasury Secretary Timothy F. Geithner may yet learn something from Mr. Camping. … Read more
Abstract : Federal spending is on an unsustainable path that risks disaster for America. Runaway spending has increased annual… Read more
With critics regularly blaming the 2001 and 2003 tax cuts for deficits caused more by runaway spending and a sluggish economy, The Heritage Foundation recently released “The Three Biggest Myths About Tax Cuts and the Budget Deficit”[1] to set the record straight. This report… Read more
The 2010 edition of “Federal Spending by the Numbers” shows spending and deficits continuing to grow at a pace not seen since World War II. Washington will spend $30,543 per household in 2010—$5,000 per household more than just two years ago. While some of this spending is a temporary… Read more
The President has proposed raising the tax on dividend income from 15 to 20 percent while his allies in Congress have created a procedural path whereby the income tax rate on dividends could again reach 39.6 percent. At the same time, it has been suggested by some that the deduction… Read more
BP has correctly received most of the blame for the Deepwater Horizon oil spill. As the contractor of the rig, there is little question that BP is responsible for the accident. However, reports of federal regulatory exemptions and passed safety inspections should raise questions about the federal government’s responsibility and… Read more
The Patient Protection and Affordable Care Act (H.R. 3590), the health care reform bill that was passed by the Senate and is now being considered by the House, promises to overhaul the current health insurance system by enforcing mandates on individuals and businesses, expanding Medicaid, and introducing new … Read more
The new Congressional Budget Office (CBO) 10-year budget baseline provides a sobering picture of a federal government that has committed itself to trillions more in spending than taxpayers can afford. Once the baseline is scrubbed of several unrealistic assumptions that Congress demands CBO use, the more realistic baseline… Read more
In January, a Democratic congressional majority was sworn in that was elected in part by promising fiscal responsibility. The Democrats specifically pledged to limit spending increases and employ pay-as-you-go (PAYGO) budgeting to keep the budget deficit in check. As their first year moves toward a close, it… Read more
The Fed has shocked us once again, and it’s probably right. There’s a firestorm on the horizon. It starts in Europe, but...… Read more
Early yesterday morning, the Wisconsin assembly passed Governor Scott Walker’s (R) budget repair bill, which includes...… Read more
Interest. Or to be more precise, interest payments. That, Heritage Senior Fellow J.D. Foster explains, is the biggest...… Read more
Late this December, the Unites States Treasury will reach the $12.1 trillion statutory ceiling on the national debt....… Read more
From the Machinery of Freedom by David Friedman, Milton’s son. Special interest politics is a simple game. A hundred...… Read more