Top Links: Paul Ryan, GOP disparage promising CBO economic report, with sequester on the way

Updated
Paul Ryan is no fan of the latest CBO report.
Paul Ryan is no fan of the latest CBO report.
AP Photo/Carolyn Kaster

Top story: The Congressional Budget Office—the people who use actual numbers and not magic wands to describe the nation’s finances—have some very good things and a few bad things to report. Naturally, everyone is cherry-picking.

  • One-line take away: “More near-term austerity (tax hikes and spending cuts) makes little sense given the anemic growth rate, but longer-term entitlement reforms make tons of sense.” (Morning Money)
  • You can read the entire report for yourself. (CBO)
  • “CBO: 2013 deficit will be less than $1 trillion for first time in five years” (PostPolitics)
  • And more good news: “Slower health-care cost growth will cut $200 billion in entitlement spending.” (Wonkblog)
  • And even more: “CBO: Deficit to decline to 2.4% of GDP in Fiscal 2015” (Calculated Risk)
  • And yet, Paul Ryan no like: “Today’s CBO report is yet another warning that our deficit is unsustainable.” (Paul Ryan)
  • Long-term, however, we have some issues: “If Congress does nothing at all, US deficits will continue to drop until 2017, when they will start gradually rising again. A decade from now, debt held by the public will be 77% of GDP, up from 72.5% now.” (Quartz)
  • “In one potentially exciting and portentous development, the CBO appears to be incorporating slower assumptions re the growth in health care outlays.” (Jared Bernstein)
  • President Obama already is telling federal workers to prepare for possible furloughs in case no deal is reached on the sequester cuts. (Federal Eye)
  • And what happens if sequestration takes effect? “Sequestration, spending caps, and reduced war spending will together reduce real federal consumption and gross investment by 11% over the next two years.” (Business Insider)
  • Mind you, both parties are still bickering over who’s responsible for the sequester cuts. (The Fix)
  • And this about sums it up for Wednesday, Feb. 6, 2013: “Saturday mail is dead and the sequester is alive.” (Ben White)

Top Links: Paul Ryan, GOP disparage promising CBO economic report, with sequester on the way

Updated