Spending Cap Archive

Young In America

By John Lumbard, CFA. According to The Daily Kos, 27% of recent college graduates (ages 21 to 24) are either unemployed or underemployed.  The Democratic Underground says that recent college graduates earn $3,200 less than they did 13 years ago.  Of course, it’s not just college graduates;  low starting salaries and...
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Whence We Came

By James Schaefer.   The original colonists of America and Canada were risk-takers -- by definition, a self-selecting group of people -- willing to leave behind family and culture and language and all that stood for civilization to cross an ocean in search of a better life. No government handouts awaited them. That entrepreneurial spirit...
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Balanced Budget Amendment Pros and Cons

In recent weeks there has been a debate in the editorial pages of The Wall Street Journal regarding the merits of a balanced-budget amendment, or BBA.  First came an opinion piece by Senators DeMint (SC) and Snowe (Maine) in favor of an amendment (so far this year 48 senators have co-sponsored...
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Cut, Cap, and Balance, Explained

Budget proposals are coming fast and furious in Washington these days.  Most of it is political chatter, but there HAVE been a number of proposals that aspire to responsible government for the long term.  Today's top story in that regard is "Cut, Cap, and Balance" which would smooth over some near-term...
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The Most Predictable Economic Crisis In History

That's what Erskine Bowles, co-chair of the president's National Commission on Fiscal Responsibility, said about our government's ever-so-slowly-developing fiscal calamity in this Senate Budget Committee testimony. The President disavowed the findings of his commission, but it continued on in a scaled-down group of six members (all Senators) called the Gang of...
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Speech On Boston Common

By John Lumbard.   "In the last 75 years there's been a dramatic change in our nation's Congress.  Our legislators used to say and believe that they represented the interests of all Americans, and were working to do what what’s best for the nation as a whole.  Now they say that...
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The Farmer and the Lottery

By James Schaefer.   The farmer wins the lottery and is being interviewed by a news reporter.  "What are you planning to do, now that you've got all this money?"  Replies the farmer,"Well, I guess I'll just keep farming 'til the money's gone." Today farmers enjoy so much taxpayer support that it's fair...
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The Scott Adams Challenge

By James Schaefer.   Scott Adams, the author of Dilbert, recently had a feature article in the Wall Street Journal, entitled "How to Tax the Rich", and he asked readers to think up incentives that might allow our biggest taxpayers to feel a bit better about dropping hundred-thousand-dollar checks into the ravenous maw...
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Amendment Filed. Call Your Congressman!

Senators Mark Udall (D-Colo.) and Richard Shelby (R-Ala.)  have introduced a Balanced-Budget Amendment to the Constitution that---are you sitting down?---includes a 20% of GDP cap on federal spending!  It requires a 3/5 vote of both houses to run deficits or overspend, but in other respects is very much like a bill...
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20 by ’20: A Limit on Federal Spending

By Dennis Canfield.     “…  It's time to try something new.” - President Barack Obama, introducing his $3.8 trillion budget for 2011---which proposes that our federal government spend 25 cents of every dollar earned by every American, rich and poor alike.  This is new.  Before World War II, our government typically spent 10% less...
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