Remember, We’ve Already Cut a Bunch of Spending
jaredbernsteinblog.com — David Wessel has an interesting piece up at the WSJ on a group of CEOs urging Congress to avoid the fiscal cliff and get on a sustainable budget path with a plan that includes both spending cuts and tax increases. But there’s was one important point omitted from the piece. When writing about a balanced approach to fiscal policy, one that involves both spending cuts and new revenues, it should be noted that Congress and the President have actually already cut $1.5 trillion ($1.7t including interest savings) in discretionary spending, not including war costs, over the next decade. That’s 70% of the Simpson-Bowles discretionary spending cuts!