CPC budget v. Ryan budget

It is easier to move toward a balanced budget if you are willing to raise taxes–that is the main take home for me from the Congressional Progressive Caucus (CPC) budget put forth yesterday. The Bipartisan Policy Center does a great job comparing this budget to other proposals. Here is the money graph that compares spending and revenues as a percent of GDP in 2022:

The CPC budget is not balanced in 2022–but then again neither is anyone else’s–not Bowles-Simpson, not Ryan’s, not the President’s, etc. showing that you cannot achieve balance or anything close quickly. The CPC budget is an interesting book end to Chairman Ryan’s budget because both achieve the same debt-to-GDP ratio (~62%) in 2022, but do so at very different levels of aggregate spending, as well as different spending priorities and tax burdens and distribution. When I look at Ryan v. CPC budget, the spending side for CPC is very plausible, while Ryan’s is a political fantasy. It is easy to imagine a majority of the nation getting behind the spending side of the CPC budget, but less easy to imagine them supporting the taxes necessary to pay for it. The converse is true for the Ryan budget.

At some point, we will have to grow up and decide, which of course will most likely entail a compromise, which seems both inevitable and impossible.

About Don Taylor
Associate Professor of Public Policy at Duke University and author of Balancing the Budget is a Progressive Priority. On twitter @donaldhtaylorjr

One Response to CPC budget v. Ryan budget

  1. Pingback: Why did normal order go away? « freeforall

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

Join 157 other followers

%d bloggers like this: