Last week the Congressional Budget Office stated that the US faces a "fiscal crisis." The nation's publicly held debt will climb to more than 70% of GDP by September 30 -- the highest rate since WWII -- and up from 40% in 2008. If Bush era tax cuts and current spending cuts are left in place, the CBO said the debt load could rise to 200% of GDP by 2037, resulting in "higher interest rates, slower economic growth and far more painful choices for lawmakers than they face today." All this indicates the difficult choices lawmakers have to face before the end of this year.
The question I ask myself -- what will cause our lawmakers to face reality, and act? I think it will have to be some kind of crisis. The first thing that comes to mind is a stock market crash with the Dow sinking below 10,000. The next ... Log in or subscribe to continue reading.
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