What is the source of the U.S. fiscal imbalance and what are the painful choices that we face?
What will be an ideal response?
The source of the fiscal imbalance is the social security and, especially, the Medicare obligations made under current law. The painful choices are to raise income taxes, raise social security taxes, cut social security benefits, or cut federal government discretionary spending.
You might also like to view...
When city beautification programs are funded privately: a. only contributing citizens are likely to benefit from a more beautiful city
b. only free riders are likely to benefit from a more beautiful city. c. an underallocation of resources toward the beautification project is likely to occur relative to what is socially efficient. d. none of the above
Short-term international investment helps to create a greater level of liquidity, more stable exchange rates, and therefore a decreased likelihood of financial crisis
a. True b. False Indicate whether the statement is true or false