Don Taylor

Why Did Normal Order Go Away?

Later today the House is to vote on HR 325, a bill to suspend the debt limit until mid-May and then the debt limit will automatically be increased by the new debt incurred during the interim.* The idea is to take away the notion of defaulting and then move toward normal order budgeting (Senate and… Read more »

Keith Hennessey on Debt Limit and Health Reform

Keith Hennessey has a long piece noting that a debt limit fight is bad politics and bad economics, that prioritization won’t work and that Republicans should instead fight it out around the sequester and the continuing resolution that is funding the government. It is a reasonable strategy that reduces the chance of economic calamity, while… Read more »

The External Cost of Guns v. Smoking

A quick post on the cost of smoking v. cost of guns, given the intuitive notion that second hand smoke and violence might be (conceptually) similar. I am not an expert on guns, and this is a quick post, given as food for thought. I have done work on the social cost of cigarette smoking,… Read more »

On Raising (and Lowering) the Medicare Age

A new poll shows that raising the Medicare age slowly to 67 (presumably to unify it with the Social Security full retirement age) is not popular. It is a bad idea in policy (TIE FAQ is good) terms because all you are doing in a state with an exchange and a Medicaid expansion is mostly… Read more »

Tax Reform Grand Bargaining

So everyone is prattling away with their grand bargain ideas on tax reform, etc. so I will re-up the basic idea at the heart of the tax reform I proposed in my book Balancing the Budget is a Progressive Priority: A tax reform that resulted in fewer rate brackets: 12, 22 and 28 were the… Read more »