The head of the Congressional Budget Office gave a bipartisan conference committee three choices for cutting the U.S. deficit: increase taxes, make deep cuts in entitlement spending or cut other programs.
Timothy Massad, a little-known Treasury official who oversaw the U.S. rescue of Wall Street, faces skepticism about his qualifications from lawmakers who will vote on his nomination to lead the country’s top derivatives regulator.
Democrats and Republicans clashed over reducing the U.S. debt by raising revenue as the first meeting of a bipartisan budget panel today revived the same disputes that have scuttled previous congressional efforts.
The U.S. budget deficit is worse than ever. Taxes already have been raised, so efforts to narrow the shortfall should focus only on spending. The only fair deal is a straight trade: relief from the cuts under sequestration in return for reductions to entitlements. Yet there’s no incentive for Democrats to go along.
Former Treasury Secretary Lawrence Summers withdrew from consideration to be chairman of the Federal Reserve, averting a confirmation battle that divided Democrats on one of President Barack Obama’s most important decisions.