False Sense Of Security

  With some Republicans calling for a balanced budget amendment to the U.S. Constitution, many fiscal conservatives may believe that this amendment would be the way to stop our rising debt problem.

  I would suggest that those who feel that the BBA would solve anything, should look here in Delaware. We have had a balanced budget requirement for sometime now.

   The way it works is that the budget is only balanced until it gets passed. The legislature doesn’t actually make any real cuts in spending to achieve this balance. Instead they just keep adjusting the revenue projections until the projections meet the spending needs. And, TADA! Balanced budget. And as soon as the revenue doesn’t appear, no balance budget.

  Why would a national balanced budget amendment be any different?

  Also could someone tell me how you can go from a 14 Trillion dollar deficit, to a balanced budget? In my view, you can’t have a balanced budget and a deficit at the same time.

  So, how long will we have to wait to see a balanced budget. And remember that this will all hinge on the projected revenue actually appearing.

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