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Date: Sat, 16 Feb 2013 02:44:13 -0800
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Subject: =?windows-1252?Q?One_Fiscal_Cliff_Down_and_Three_To_Go=96=96But_No_Re?=
=?windows-1252?Q?al_Solution_On_the_Horizon?=
From: "ikhwan.reza5" <ikhwan.reza5@gmail.com>
To: irezcool.fosa@blogger.com
Content-Type: multipart/alternative; boundary=089e01182b263b122a04d5d52cb6
For those in the health care market, I will suggest the big takeaway is
that we should expect very little will be settled in the coming months and
we will continue to face a great deal of uncertainty for years to come.
Without an agreement to alter the course we are on, it is estimated that we
will add more than $10 trillion to the national debt over the next ten
years. Most experts agree that we need to reduce that amount by about half
in order to put our nation's fiscal course on a sustainable track. The
Simpson-Bowles Debt Commission, for example, called for $4 trillion in
deficit reduction––a fourth in new revenue and three-fourths in spending
cuts.
We've heard lots of talk about a "Grand Bargain" between Republicans and
Democrats to finally put our fiscal house in order. To be a grand bargain
the two sides would have to agree to a deal that at least equaled the $4
trillion Simpson-Bowles proposal in its scope.
But Republicans and Democrats never came close to that kind of solution in
the run-up to the recent fiscal cliff deal.
In the end, the two sides agreed to about $600 billion in tax increases.
They also spent hundreds of billions more by agreeing to put off the
sequester cuts for just two months, fix the Alternative Minimum Tax (AMT)
problem, extend some business tax benefits, and extend unemployment
benefits. They separately found $30 billion in Medicare savings, mostly
from hospitals, to grant the Medicare doctors only a one-year delay in
their 27% fee cuts.
Now, Obama says he wants $600 billion in more revenue by limiting tax
breaks.
If the President were to be successful, he would increase revenue by a
total of $1.2 trillion––about what Simpson-Bowles would have increased
revenue toward their $4 trillion package. During negotiations between
President Obama and Speaker Boehner, the President offered about $900
billion in spending cuts, including $600 billion in entitlement reforms.
At best Obama hasn't put more than about half of the $4 trillion we
