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View Full Version : Ryan Budget Cuts 6.2 Trillion!!



Sev
04-05-2011, 01:37 PM
Its a good start.

http://online.wsj.com/article/SB10001424052748703806304576242612172357504.html
<span style="color: #000000">
<span style='font-size: 17pt'>The GOP Path to Prosperity</span>
Our budget cuts $6.2 trillion in spending from the president's budget over the next 10 years and puts the nation on track to pay off our national debt.

By PAUL D. RYAN

Congress is currently embroiled in a funding fight over how much to spend on less than one-fifth of the federal budget for the next six months. Whether we cut $33 billion or $61 billion—that is, whether we shave 2% or 4% off of this year's deficit—is important. It's a sign that the election did in fact change the debate in Washington from how much we should spend to how much spending we should cut.

But this morning the new House Republican majority will introduce a budget that moves the debate from billions in spending cuts to trillions. America is facing a defining moment. The threat posed by our monumental debt will damage our country in profound ways, unless we act.

No one person or party is responsible for the looming crisis. Yet the facts are clear: Since President Obama took office, our problems have gotten worse. Major spending increases have failed to deliver promised jobs. The safety net for the poor is coming apart at the seams. Government health and retirement programs are growing at unsustainable rates. The new health-care law is a fiscal train wreck. And a complex, inefficient tax code is holding back American families and businesses.

Steve Moore has the details on Rep. Paul Ryan's plan to cut spending.
<span style="color: #990000">The president's recent budget proposal would accelerate America's descent into a debt crisis. It doubles debt held by the public by the end of his first term and triples it by 2021. It imposes $1.5 trillion in new taxes, with spending that never falls below 23% of the economy. His budget permanently enlarges the size of government. It offers no reforms to save government health and retirement programs, and no leadership.

Our budget, which we call The Path to Prosperity, is very different. For starters, it cuts $6.2 trillion in spending from the president's budget over the next 10 years, reduces the debt as a percentage of the economy, and puts the nation on a path to actually pay off our national debt. Our proposal brings federal spending to below 20% of gross domestic product (GDP), consistent with the postwar average, and reduces deficits by $4.4 trillion.</span>
http://i162.photobucket.com/albums/t278/Sevelli/Political/ED-AN340_ryan_G_20110404162403.jpg
A study just released by the Heritage Center for Data Analysis projects that The Path to Prosperity will help create nearly one million new private-sector jobs next year, bring the unemployment rate down to 4% by 2015, and result in 2.5 million additional private-sector jobs in the last year of the decade. It spurs economic growth, with $1.5 trillion in additional real GDP over the decade. According to Heritage's analysis, it would result in $1.1 trillion in higher wages and an average of $1,000 in additional family income each year.</span>

Here are its major components:

• Reducing spending: This budget proposes to bring spending on domestic government agencies to below 2008 levels, and it freezes this category of spending for five years. The savings proposals are numerous, and include reforming agricultural subsidies, shrinking the federal work force through a sensible attrition policy, and accepting Defense Secretary Robert Gates's plan to target inefficiencies at the Pentagon.

• Welfare reform: This budget will build upon the historic welfare reforms of the late 1990s by converting the federal share of Medicaid spending into a block grant that lets states create a range of options and gives Medicaid patients access to better care. It proposes similar reforms to the food-stamp program, ending the flawed incentive structure that rewards states for adding to the rolls. Finally, this budget recognizes that the best welfare program is one that ends with a job—it consolidates dozens of duplicative job-training programs into more accessible, accountable career scholarships that will better serve people looking for work.

As we strengthen and improve welfare programs for those who need them, we eliminate welfare for those who don't. Our budget targets corporate welfare, starting by ending the conservatorship of Fannie Mae and Freddie Mac that is costing taxpayers hundreds of billions of dollars. It gets rid of the permanent Wall Street bailout authority that Congress created last year. And it rolls back expensive handouts for uncompetitive sources of energy, calling instead for a free and open marketplace for energy development, innovation and exploration.

• Health and retirement security: This budget's reforms will protect health and retirement security. This starts with saving Medicare. The open-ended, blank-check nature of the Medicare subsidy threatens the solvency of this critical program and creates inexcusable levels of waste. This budget takes action where others have ducked. But because government should not force people to reorganize their lives, its reforms will not affect those in or near retirement in any way.

Starting in 2022, new Medicare beneficiaries will be enrolled in the same kind of health-care program that members of Congress enjoy. Future Medicare recipients will be able to choose a plan that works best for them from a list of guaranteed coverage options. This is not a voucher program but rather a premium-support model. A Medicare premium-support payment would be paid, by Medicare, to the plan chosen by the beneficiary, subsidizing its cost.

In addition, Medicare will provide increased assistance for lower- income beneficiaries and those with greater health risks. Reform that empowers individuals—with more help for the poor and the sick—will guarantee that Medicare can fulfill the promise of health security for America's seniors.

We must also reform Social Security to prevent severe cuts to future benefits. This budget forces policy makers to work together to enact common-sense reforms. The goal of this proposal is to save Social Security for current retirees and strengthen it for future generations by building upon ideas offered by the president's bipartisan fiscal commission.

• Budget enforcement: This budget recognizes that it is not enough to change how much government spends. We must also change how government spends. It proposes budget-process reforms—including real, enforceable caps on spending—to make sure government spends and taxes only as much as it needs to fulfill its constitutionally prescribed roles.

• Tax reform: This budget would focus on growth by reforming the nation's outdated tax code, consolidating brackets, lowering tax rates, and assuming top individual and corporate rates of 25%. It maintains a revenue-neutral approach by clearing out a burdensome tangle of deductions and loopholes that distort economic activity and leave some corporations paying no income taxes at all.

This is America's moment to advance a plan for prosperity. Our budget offers the nation a model of government that is guided by the timeless principles of the American idea: free-market democracy, open competition, a robust private sector bound by rules of honesty and fairness, a secure safety net, and equal opportunity for all under a limited constitutional government of popular consent.

We can reform government so that people don't have to reorient their lives for less. We can grow our economy, promote opportunity, and encourage upward mobility. This budget is the new House majority's answer to history's call. It is now up to all of us to keep America exceptional.

Mr. Ryan, a Republican, represents Wisconsin's first congressional district and serves as chairman of the House Budget Committee.

Soflasnapper
04-05-2011, 02:32 PM
<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body"> Our budget, which we call The Path to Prosperity, is very different. For starters, it cuts $6.2 trillion in spending from the president's budget over the next 10 years, reduces the debt as a percentage of the economy, and puts the nation on a path to actually pay off our national debt. Our proposal brings federal spending to below 20% of gross domestic product (GDP), consistent with the postwar average, and reduces deficits by $4.4 trillion. </div></div>

Hmmm. Cuts spending by $6.2 trillion, but only cuts the deficit by $4.4 trillion?

How can that be?

Because the genius move lurking behind all of this talk of fiscal discipline is although the middle class will be taxed MORE, still, the extra tax CUTTING to the top income brackets will still net out $1.8 trillion in extra cuts in revenue through tax breaks to 1% or less of the country.

This is cleverly hidden in the presentation, but we already have the details in Ryan's previously described road map, upon which this proposal is modeled.

Let's see him state these facts openly and honestly, to find out if the people really think that makes sense.

Sev
04-05-2011, 02:42 PM
However your not denying the that it both cuts spending and reduces the deficit?

So far there is nothing from the Democrats.

Any bets on them actually producing something that goes even further?

pooltchr
04-05-2011, 03:00 PM
You know, I had a similar question for the past few years, when some people claimed that we had a budget surplus at the same time that we were getting deeper in debt.

Nobody has ever answered that question either.

The simple fact is that politicians use creative math and questionable accounting to paint a rosy picture for the public. One need look no further than the double spending in the Obamacare bill to know that they have been, and continue to lie to the public about their financial juggling.

We hear crying about how the big banks and big corporations caused the economic crash. How can those same people not see how the money flowing through Washington is misused every day?

I don't think the public will ever get it, until we have a total break down and have to completely rebuild our country.

Steve

Soflasnapper
04-06-2011, 04:41 PM
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: pooltchr</div><div class="ubbcode-body">You know, I had a similar question for the past few years, when some people claimed that we had a budget surplus at the same time that we were getting deeper in debt.

Nobody has ever answered that question either.

Steve </div></div>

Actually, I answered both that question, and the alleged double counting charge, right here on this forum. Easily answered, btw.

pooltchr
04-06-2011, 04:54 PM
No, you didn't really answer it. You just tried to explain it away.

Steve

Qtec
04-07-2011, 01:22 AM
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: pooltchr</div><div class="ubbcode-body">No, you didn't really answer it. You just tried to explain it away.

Steve </div></div>

ie, it didn't agree with your belief so you dismissed it, or you didn't understand it. [I had to read it 5 times myself before I got my head around it.]

He did answer it. Read it again.


It basically says this.

SS is a <u>separate entity</u>, not part of the Govt.

When it has excess funds it is required by law to INVEST that money in the most secure bonds on planet Earth, ie USA Govt low interest bonds.
The reason for the low interest is because the return on your investment is 100% guaranteed by the US of A.
You will always get your money.



Q


Q

LWW
04-07-2011, 03:05 AM
According to CBO their system crashed at year 2037 if we continue on our course, IOW there was no way for the US economy to continue beyond that.

This regime, and it's supporters, are willing to crush the nation into dust for short term gain ... and it is a moral sin.

I will be 81 then and quite likely dead, but I will not join the many in my generation who want to suck the wealth of 235 years past and 235 years future just for my own benefit.

Shame on all who support placing those being born today into economic slavery.

And may a pox be upon both parties if they allow it to continue.

Qtec
04-07-2011, 03:52 AM
<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">Shame on all who support placing those being born today into economic slavery.
</div></div>

This is what you have always proposed.

Q

Sev
04-07-2011, 06:49 AM
How so?

LWW
04-07-2011, 07:12 AM
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Sev</div><div class="ubbcode-body">How so?

</div></div>

He doesn't even know what the words he used mean.