For more info visit www.newsinfusion.com Report Offers Policymakers Multiple Ways To Stabilize National Debt; Delaying Action Will Cause Greater Fiscal Pain And Economic Risks WASHINGTON (January 13, 2010) — A new joint report from the National Academy of Public Administration and the National Research Council offers U.S. leaders ways to address the nation's fiscal problems and confront its rapidly growing debt -- a burden that if unchecked will inevitably limit the nation's future wealth and risk a disruptive fiscal crisis that could lead to a severe recession. “The report is unflinching in its assessment of the fiscal challenges we face, but it is far from disheartening,” said Jennifer L. Dorn, President and CEO of the National Academy of Public Administration. “Unlike other calls to action, the Committee’s work creates a framework for a national conversation, and demonstrates that solutions are possible.” The report offers tax and spending options that would stabilize the debt relative to the size of the economy within a decade. The report also provides a set of simple tests to determine whether any proposed federal budget would lead to long-term fiscal stability. Delaying action for even five or 10 years will make addressing the problem more painful and costly, requiring even higher taxes or greater spending cuts, the report notes. Delay also raises the risk that the nation's creditors – especially foreign governments – will conclude that the U.S. has no plan to restore fiscal stability and will require higher interest rates or make other economic demands.
