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Economics: Proposal To Cut The Budget Deficit
Beginning of paper
The federal budget is an explosive problem which if not acted upon soon,
threatens to swallow the entire domestic income. I have placed together
several decisions that create a minimal impact upon the economy, yet reduce
the federal budget deficit by 2/3s. The aggregate demand curve ultimately
will shift, not greatly, to the right as .... Middle of paper .... by 4 billion.
Making all entitlements subject to income tax would reduce the deficit by
74 billion and shrink the economy by 24.66 billion. Basing Medicare
payments on cost of managed care plans would reduce the deficit by 70
billion, and shrink the economy by 23.33 billion. Converting Medicaid to a
block grant in states would reduce the deficit by 54 billion, yet decrease
the economy. These tax increases will reduce the deficit by 223 b ....
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Number of words: 419 Number of pages: 2 (approx. 250 words per double-spaced page)
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