Understanding The Budget

I imagine that President Obama preferred the “you’ll have to pass it to find out what’s in it” atmosphere of having Nancy Pelosi and Harry Reid do his dirty work, but it’s not as easy with a budget.  Keith Hennessey breaks down the current proposal (proposal #2, after proposal #1 was laughed off the stage).  As you could expect, the budget is pretty much a joke.

The most interesting part, though, is his “debt reduction trigger,” also known as “automatic tax increase,” based on just how much spending is exempted from being cut.  If President Obama and Congress spend too much money, there will be automatic forces in play to…take more taxpayer money.  That way, Democrats don’t need to vote on a tax increase (which they likely could not pass, and even if they did, would earn the scorn of the general public) to get tax increases.

Advertisements