In Defense of White House Budget Gimmicks

More

The federal deficit has stretched to $941 billion in the first eight months of Fiscal Year 2010, and politicians are getting nervous that all that red ink is starting to stink. That puts the White House in the awkward position on standing behind more stimulus -- which would raise the deficit -- while claiming the mantle of fiscal responsibility. How do you pull that off?

Well, you suggest small-ball reforms -- or, as some critics contend, gimmicks. First, President Obama has proposed a three-year freeze on non-security discretionary funding, which amounts to about a fifth of the budget. Second, he's requested the authority to lightly edit spending bills and send them back to Congress for an expedited vote without amendments. Third, he's asking agencies to make plans to cut 5% of their budget.

These ideas tend draw much mocking from politicians and the commentariat, and maybe it seems a little weird to grow a trillion-dollar deficit and pare it down with limited freezes (like planting a Redwood and pruning it with a nail file). But I see nothing wrong with these ideas. They're non-binding, forward looking, and potentially useful. Do we think government agencies should never have to identify programs they consider marginally unecessary? Is it pointless to even threaten to rein in earmarks with a light veto power? We should be running a large deficit in 2010, and we should be thinking about small ways to improve our medium-term budget.

Jump to comments
Presented by

Derek Thompson is a senior editor at The Atlantic, where he writes about economics, labor markets, and the entertainment business.

Get Today's Top Stories in Your Inbox (preview)

Why Are Americans So Bad at Saving Money?

The US is particularly miserable at putting aside money for the future. Should we blame our paychecks or our psychology?


Elsewhere on the web

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register. blog comments powered by Disqus

Video

The Death of Film

You'll never hear the whirring sound of a projector again.

Video

How to Hunt With Poison Darts

A Borneo hunter explains one of his tribe's oldest customs: the art of the blowpipe

Video

A Delightful, Pixar-Inspired Cartoon

An action figure and his reluctant sidekick trek across a kitchen in search of treasure.

Video

I Am an Undocumented Immigrant

"I look like a typical young American."

Video

Why Did I Study Physics?

Using hand-drawn cartoons to explain an academic passion

Writers

Up
Down

More in Business

Just In