Issue Brief posted October 28, 2015
Analysis of the Bipartisan Budget Act of 2015
The federal budget is on a dangerous trajectory and immediate corrective action is required. The U.S. national debt is at $18.1 trillion. According to the Congressional Budget Office (CBO), if the government remains on its currently planned course, it will spend $7 trillion more over the next 10 years than it will receive in taxes, piling on even more debt.
Issue Brief posted October 23, 2015
U.S. Treasury Debt Is Not the Foundation of the Global Economy
Congress is once again facing a decision on the debt limit. If lawmakers do not raise the $18.1 trillion limit by the end of October, the U.S. Treasury may not have enough cash on hand to meet all of its obligations as they come due. If they do raise the limit, the Treasury will borrow more money by offering new debt—Treasury securities—for sale.
For many in Congress,…
Backgrounder posted October 15, 2015
Evidence-Based Policymaking: A Primer
The federal government’s total debt exceeds $18.1 trillion. However, even this huge figure understates the nation’s debt. Due to the absence of fiscal restraint after restoration of the debt limit in March 2015 at a level of $18.1 trillion, the Department of the Treasury has been forced to engage in extraordinary measures to continue borrowing, mainly raiding funds…
Backgrounder posted September 2, 2015
Blueprint for Congressional Fiscal Action in the Remainder of 2015
Congress has set the federal government budget on a dangerous trajectory and must take corrective action now. Taxpayers pay enormous amounts of money to the government, and the government borrows additional huge amounts of money. The government uses the taxes that it collects and the money that it borrows to pay for excessive spending, including spending for…
Backgrounder posted March 26, 2015
$4 Trillion and Counting: President Obama’s 2016 Budget Presents a Vision of Government Largess
For the first time since 2010, President Obama released his annual budget on time. Such punctuality is a welcome step toward normalcy in the budget process, though one wonders why it took five years for the Administration to adhere to the statutory deadline. Aside from its timeliness, there is little good that can be said about the President’s 2016 budget.
Backgrounder posted January 30, 2015
A Proposal for the FY 2016 Defense Budget
U.S. foreign and defense policy has reached a critical juncture. In an astonishingly brief period of time, the world—and America’s place in it—has changed dramatically. During this period, presidential elections, the financial crisis, and government shutdown politics largely supplanted overseas engagements and foreign affairs in the minds of the White House and Congress.…
Issue Brief posted February 14, 2014
Blank Check: What It Means to Suspend the Debt Limit
Some commentators have criticized use of the phrase “blank check” to describe the recent vote to suspend the debt limit for more than a year. They argue that the debt limit suspension merely means that the Treasury is allowed to borrow for the purpose of covering spending Congress already approved.
That is only part of the story. Here is why the “blank check” analogy…