Major Fiscal Worries (Not on Anyone's Agenda?)

[papau]

aggressive deficit reduction efforts -"The first thing we can do when you're in a hole is stop digging,"

http://www.latimes.com/news/nationworld/nation/la-na-policy27jul27.story

Major Fiscal Worries Not on Anyone's Agenda
Democrats are vague or silent on the deficit and Social Security -- as are the Republicans.
By Janet Hook
Times Staff Writer

July 27, 2004

BOSTON — <snip>Kerry calls for reinstating budget requirements, which Congress recently let lapse, that set spending caps and established a "pay-as-you-go" rule to limit deficit increases. That rule would make it harder to enact a tax cut or spending increase unless it was offset by tax hikes or spending cuts in other areas.<snip>

By Kerry's accounting, his plan to expand health coverage would cost about $653 billion over 10 years, and his education initiatives about $200 billion over 10 years. His plan to repeal tax breaks for families earning more than $200,000 a year would raise about $860 billion in that period.

Some of Kerry's smaller initiatives have also been linked to cost-saving proposals. He coupled his $13-billion national service program with a proposal to cut interest subsidies for banks that make student loans. Kerry plans to offset the cost of a $30-billion energy plan by increasing fees charged under the Superfund toxic cleanup program.

But he has also offered proposals without specific offsets, such as a plan to give $50 billion in aid to states and a call for mandatory healthcare for veterans, which could cost $20 billion to $300 billion over 10 years.

Jason Furman, economic policy chief for Kerry's campaign, points to additional cost-saving proposals the Massachusetts senator has pushed: cutting the government's electricity use, travel and use of consultants; a line-item veto to let the president excise "pork barrel" projects from spending bills; and a commission to identify wasteful "corporate welfare."<snip>

<snip>Kerry opposes privatizing the (Social Security and Medicare) programs, cutting benefits or raising taxes to shore them up. His campaign website details a plan to "protect and strengthen" the programs that calls only for improved Medicare benefits for seniors. The platform calls only for cutting "waste and abuse" in Medicare, using competitive bidding and other changes that leave benefits untouched.<snip>