Cool

The Budget Deal May Fall Apart

I promise that wouldn't make me cry. A "normal" tax and spending pattern is 20 percent of GDP for both. Right now we're at 25 percent spending and 14 percent taxation. The difference is being made up largely with inflation. Given the size of the debt, we probably need to have taxation exceed spending by two or three percent, plus a much more normal rate of two or three percent inflation, to make the numbers work without economic collapse.

I'm a libertarian. I've never voted for a major party candidate for national office. But if one of the parties makes that happen I'd vote for it. I'd prefer to see taxation at 14 and spending at 12, but I'd settle for taxation at 27 and spending at 25. The latter is painful; the alternative is a disaster.