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Ukraine receives much-needed U.S. aid, though it s just getting started. Protesting college students are up in arms about pro-Israel stances. And, end-of-life care advocates stand up for minors' gender-affirming care in Montana.

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More rural working-age people are dying young compared to their urban counterparts, the internet was a lifesaver for rural students during the pandemic but the connection has been broken for many, and conservationists believe a new rule governing public lands will protect them for future generations.

Debt Reduction Roadmap

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Thursday, March 3, 2011   

WASHINGTON - Although Congress and President Obama have agreed on a two-week, stop-gap spending bill that trims $4 billion from the federal budget, $60 billion in cuts passed by the Republican-controlled House last month remain unresolved.

How to get the budget in balance?

One proposal comes from the Pew Fiscal Analysis Initiative. Director Ingrid Schroeder says the idea is to lower the nation's debt to 60 percent of the annual Gross Domestic Product by 2025, which will mean putting every part of federal spending on the table.

"Then if you did an across-the-board spending cut of about 7.5 percent and an across-the-board tax hike of about 7.5 percent, you would reach your 60-percent debt-to-GDP goal within about 10 years."

It would be impractical for the federal government to try to eliminate its overspending in one year, Schroeder says, in much the same way that it would be impossible for most families to eliminate all their debt in one year.

"The economy is still in a fragile state right now. We are just emerging with our recovery, so you've got to be careful what you cut right away, but planning now to make the appropriate cuts to get us on a sustainable fiscal path is the right thing to do."

If Congress focuses only on cuts in discretionary spending as it has done so far, Schroeder says, it would take a 43 percent overall reduction to reach the same goal, the equivalent of eliminating the entire Defense Department. Arizona will be paying close attention to any cuts in defense spending, since the state's economy relies heavily on its military bases and defense contractors.


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