Everybody's Doing it.......

First it was Alan, now it's Paul and company. Seems like they're about to start a craze. What craze? The budget deficit gitterbug. And why? Becuase come the end of the decade the US Treasury will have enormous unfunded obligations to its citizens. Tell me something else I didn't already know. But still it's nice the see Alan Greenspan and Paul Volcker joining the club.

Looming at the end of the decade is a demographic transformation that threatens to swamp the budget and the economy with unfunded benefit promises, like Social Security and Medicare, of roughly $25 trillion in present value. Our children and grandchildren already face unthinkable payroll tax burdens that could go as high as 33 percent to pay for these promised benefits. It is neither fiscally nor morally responsible to give ourselves tax cuts and leave future generations with an even higher tax burden.
Source: New York Times via Brad Delong's Semi Daily Journal
LINK