Medicare and Social Security Are Responsible for 95 Percent of U.S. Unfunded Obligations

This report is intended to provide a short‐​term view of the government’s financial h ealth, including the baseline against which new spending and tax proposals will be scored. Such scores inform legislators about the fiscal impact their proposals would have on 10‐​year budget projections and whether they would trigger deficit‐​reduction rules such as CUT-GO, a House rule th at requires offsetting spending reductions if legislation were to increase mandatory spending during the decade.The Financial Report Deserves More AttentionThe Financial Report of the U.S. Government deserves more attention. The report ’s findings are especially relevant in today’s political climate where politicians from both parties feel pressure to distance themselves from benefit cuts to Medicare and Social Security. The report makes it painfully obvious that Medicare and Social Security spending are the primary drivers of government debt. Adopting sensible reforms to old age entitlement programs is both necessary and urgent.
Source: Cato-at-liberty - Category: American Health Authors: Source Type: blogs