December 21, 2012 |
President Obama sharply curtailed his ambitions for legislation to avert the year-end "fiscal cliff" on Friday, urging Congress to adopt a stopgap measure to keep benefits flowing to unemployed workers and prevent taxes from rising on income under $250,000 a year. The plan should also "lay the groundwork" for action next year to spur economic growth and rein in the national debt, Obama said at a White House news conference. But with taxes set to rise for virtually every American in just 10 days,...
December 17, 2012 |
President Obama and House Speaker John A. Boehner moved close to agreement Monday on a plan to avert the year-end " fiscal cliff ," but they had yet to clear several critical hurdles, including winning the support of wary House Republicans. Obama and Boehner (R-Ohio) huddled at the White House for 45 minutes Monday morning for their third conversation in the past five days. Later, Boehner met for an hour at the Capitol with his leadership team in advance of a...
December 16, 2012 |
This is what the other side of the "fiscal cliff" looks like. If President Obama and Congress fail to reach a deal to avoid hundreds of billions of dollars of tax hikes and federal spending cuts, many Americans will feel the pain with less money in their paychecks in the first week of the New Year. On Friday, Jan. 4, middle-class Americans who get paid that day would see take-home pay decline by an average of about $25, according to calculations based on data from the nonpartisan Tax...
December 2, 2012 |
An entirely new political narrative is taking shape before our eyes, yet many in Washington are still stuck in the old one. President Obama's victory blew up the framework created by the 2010 elections, which forced him to play defense. Now, he finally has room to move. That's the only way to understand the ongoing budget talks. This has several implications. First, why was anyone surprised that Obama's initial offer to the Republicans was a compendium of what he'd actually prefer?
October 11, 2012 |
Former White House economic adviser Larry Summers warned Thursday that the nation is at risk of sinking into a "great stagnation" — a period of high unemployment and sluggish growth — and urged policymakers to extend a temporary payroll tax cut. Given the weakness of the economy, Summers argued that it is far more important to spur economic growth right now than to restrain record budget deficits — so long as policymakers adopt a plan to...
October 7, 2012 |
AT THE RISK of spoiling it, we'd like to take note of a quietly growing bipartisan consensus in support of doing something that might actually help the long-term financial condition of the United States government — or, to be more precise, a growing consensus against doing something that might harm U.S. finances. We speak of the broad opposition among Republicans and Democrats to another one-year extension of the Social Security payroll tax holiday , which workers have enjoyed for the past two years.