March 30, 2011

US Debt Crisis: Finding a Solution

Veronique de Rugy

George Gibbs Chair in Political Economy

Veronique de Rugy examines US debt and spending and debunks the myth that the deficit can be reduced by raising taxes.

“What’s driving the deficit in the future is really a spending explosion, driven by auto-pilot programs, such as Social Security, Medicare, and Medicaid,” said de Rugy.  “Even if we could raise taxes as much as we wanted, it could never be enough to fill that gap, and it would have consequences on economic growth.”