Tuesday, January 03, 2012
The Ryan Budget Plan: Inadequate
The Ryan plan assumes 4++% annual growth in order to meet its debt-reduction targets. But the historical record of growth in the US simply does not support 4++%. It supports 3% reasonably well, and 2.5% very well, indeed.
But if you want Debt/GDP back at the 2010 levels, the Ryan plan is inadequate. Period.