Does ANYONE Actually Believe the CBO Anymore?

[Alaska Darin]

Cap and Trade Will "Save" the Government Money

 

[Nanker]

In a related article regarding the current tax code trajectory:

"In other words, we’re talking about inflicting an enormous amount of pain on the working-age population to keep an unaffordable entitlement system afloat. The fact that such policies would “work” to reduce the deficit isn’t surprising in the least, and it certainly isn’t cause for optimism."

However, The CBO is now saying that Obamacare will cripple deficit cutting.

"The health care reform act is going to add far more to the deficit than the CBO said, even in the first 10 years," Antos says. "The legislation is more complex than almost anything that been passed in the last 20 years, and its inherent uncertainty about the impact on the deficit is much, much greater."

 

Most of the savings in the Obama bill would come from cuts in Medicare reimbursements to doctors and hospitals, Antos says.

 

"Will a future Congress really follow through and cut hospitals, cut doctors and cut various providers in terms of their Medicare payment rates?" Antos asks. "The performance of the last six to eight years on physician payments strongly suggests that the cuts will be nowhere near as dramatic as were passed into law."

 

In addition, Antos says, the CBO estimates don't include the costs necessary to get the bill's provisions off the ground, such as paying for the Department of Health and Human Services to set up the nationwide insurance exchanges that the legislation provides for. He estimates that will cost between $120 billion and $130 billion, wiping out any potential savings achieved through Medicare cuts.

[KD in CA]

Gee, I just can't understand why businesses are conserving cash instead of hiring. Maybe we need another tax credit incentive.

[Keukasmallies]

Unfortunately, for taxpayers the Obama administration seems not to understand the complexity of the cultural forces in the Middle East, and thus the US blunders along in spite of tribal and other roadblocks. (Not to mention campaign promises...but that's another thread all together.)

 

Similarly, the current administration seems not to understand the culture of capitalism. Gee, banks hold their cash cards close to vest in bad times? Golly, corporations build reserves for even more troubled times rather than expand hiring? Yikes, manufacturers are shipping out of inventory rather than recall employees to make new products? Why, let's just wait until the government throws some more incentive cash our way rather than expend our own resources?

 

Look, Alice, it's just a wonderland out there....

[Magox]

Actually I wouldn't be surprised if it did indeed reduce the deficit, the reason being is that this is a tax based initiative, the true cost would be taxed to the traditional energy providers, which of course would be passed on to the consumers. The other negative about this proposed bill is the amount of job losses that would occur in the coal and oil refining business. There are many local and state governments that depend on these industries, and the calculated net loss of jobs, which I provided many many months ago would be in the hundreds of thousands according to various estimates.

[IDBillzFan]

Gee, I just can't understand why businesses are conserving cash instead of hiring. Maybe we need another tax credit incentive.

That's exactly right. What this administration needs to do is provide tax credits to small businesses so they can hire employees they don't need to build products no one is buying to earn a tax credit that will ultimately be paid for by the very people who are being asked to hire the people they don't need so they can pass that increase on to the very people who aren't buying their products.

 

Change you can bereave in.

[OCinBuffalo]

Nope

[Doc]

That's exactly right. What this administration needs to do is provide tax credits to small businesses so they can hire employees they don't need to build products no one is buying to earn a tax credit that will ultimately be paid for by the very people who are being asked to hire the people they don't need so they can pass that increase on to the very people who aren't buying their products.

How about paying businesses NOT to make products? Kind of like farm subsidies?

[Adam]

Personally, I think its time it invest in the country- Rebuild the ENTIRE infrastructure from scratch- interstate system, sewage system, power grid, the whole freaking thing. Give incentives for whatever new energy source fits to replace fossil fuels- I hear things are looking up for hydrogen fuel cells right now as far as containing potential explosions.

 

If we don't do it now, the cost will be greater later. The other stuff can wait