The Wall Street Journal pushes the focus to the debt limit - and dangers that loom in the not-too-distant future.
Just how negative becomes clear when one considers the full range of
scenarios offered by CBO for the period from now until 2038. Only in
three of 13 scenarios—two of which imagine politically highly unlikely
spending cuts or tax hikes—does the debt shrink from its current level
of 73% of GDP. In all the others it increases to between 77% and 190% of
GDP. It should be noted that this last figure can reasonably be
considered among the more likely of the scenarios, since it combines the
alternative fiscal scenario, in which politicians in Washington behave
as they have done in the past, raising spending more than taxation.
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