This debt deal just delays the inevitable as it cuts the rate of increase in projected spending but does not actually reduce actual year over year spending. And it does nothing about unfunded entitlements. To quote the article below… “All these “cuts” are modest reductions in the growth of outlays envisioned in President Obama’s budget, which would boost annual spending by 57 percent over the next decade. Everyone is talking about cutting the overall budget, without actually doing it.” The only people deserving credit are Republicans who voted NO yesterday in the House and those whom will vote NO today in the Senate.
We have heard a lot lately about plans to slash spending by trillions of dollars. Though these sound like deep cuts, they are not even shallow cuts. Under the plans being discussed in Washington, federal spending would rise, and so would the federal debt—not by a little, but by a lot.
Consider Speaker John Boehner’s blueprint, which envisions savings of some $3 trillion over 10 years. The biggest chunk of savings comes from a cap on discretionary outlays, letting them grow as fast as inflation—meaning they would gobble up more dollars every year.