A Welcome Sign For Fiscal Conservatives
Perhaps no area of George W. Bush’s presidency has been more disappointing than fiscal policy has been to the conservative base. We know, most of us, anyway, why we have the huge deficits (9/11, tax cuts, Iraq, prescription drug benefit, Katrina, etc.), but what has been discouraging is what has seemed a lack of willpower to get the situation under control. Thus, Treasury Secretary John Snow has some very welcome comments:
The Bush administration’s highest economic priority for its remaining three years is to control the growth of federal spending and bring down the US budget deficit, John Snow, US Treasury secretary, said.
“The clear priority of the administration right now is the deficit, making sure that we achieve the president’s objective of cutting the deficit in half by the time he leaves office,” he said in an interview with the Financial Times. This would put the deficit below 2 per cent of gross domestic product, low by historical standards.
“This administration knows that deficits matter,” he added. “We know they’re unwelcome.”
Nice words, but let’s see some action. PorkBusters has plenty of good places to start cutting (I support the Fiscal Watch Team Offset Package)….
UPDATE 10:38 a.m.: More economic buzz from today’s First Read…
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I agree, nice words, and I ain’t holding my breath for the action, either.
If you check the numbers on the deficit you will see some movement pre-Katrina and the other late-summer events in the fraction of GDP measure. Also, you certainly won’t hear this from the NYT, revenues post-tax cut are UP, just after the filing season anyhow, they were up to an all time record level. Receipts are not the problem it is ever excalating spending. Watch W on this but be patient. I expect to be pleased by ’08.
It’s ridiculous how low the bar is being set. “Control the growth of federal spending”, “cutting the deficit in half”, “deficit below 2 per cent of gross domestic product, low by historical standards.” What about eliminating the deficit and running a budget surplus? Shouldn’t that be the goal? Yes cutting spending is politically difficult, but strong leaders make tough decisions. For all the hoopla over how great a leader Bush is, on this core issue he’s just weak.