Commentary

McClaughry: Biden’s idea of our fiscal future

By John McClaughry

Peter Suderman of Reason reports that “in a recent interview with The New York Times, White House economic policy adviser Jared Bernstein said: ‘Our budgets have been heavily fiscally responsible, and they build a very compelling architecture toward critical investments and fiscal responsibility. So it would be a mistake to overtorque in reaction to current events.’”

“Critical investments, in this case, means ‘spending.’ Fiscal responsibility, meanwhile, is probably a reference to the administration’s eyebrow-raising claims that Biden’s policies have reduced the federal budget deficit.”

“These claims are laughable: This year’s drop is largely a result of the end of one-time pandemic policies that were intended to sunset. The on-paper deficit reduction in the Inflation Reduction Act is totally wiped out by the administration’s decision to cancel vast swaths of student loan debt. The Biden administration’s policies have put the federal budget on a trajectory toward a long-term increase in deficits. Biden’s claims of fiscal responsibility rest entirely on easily discerned sleight of hand. Yet his administration clings to this illusion because that’s all it has.”

Read the rest at Ethan Allen Institute blog…..

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