Monday saw President Barack Obama saying a lot of the country’s problems of high deficit and debts had been inherited by him at the time of his entry into the White House, something which sounded like the premise of his re-election campaign for the year 2012. While he was at a Democratic fundraiser, he made [...]

Last few days has been remorseful for the nation, one gets to see the decline in the nation’s credit rating, poll figures show public support for Congress at record lows, which peaked on Monday with an impetus in the stock market. Democrats and Congressional Republicans trying to retreat to their now-familiar positions, each trying to [...]

For the purpose of keeping the country away from a default and reducing deficits by a minimum of $2.1 trillion spread over a decade, a few students will be required to pay off their loans while they are still in school as per a debt ceiling deal finalized at the last minute. Trimming the deficits [...]

Sunday saw the announcement by President Barack Obama of a last-minute deal on lifting the cap on borrowing limit of the US as he recommended the lawmakers to do the right thing by approving the proposed agreement so that a calamitous default could be averted. The endgame was layout merely 2 days prior to the [...]

Late Sunday saw an announcement by President Barack Obama and the top law makers of the nation that an agreement has been arrived at for raising the debt ceiling and controlling federal spending dramatically. The president said Sunday night that a deal had been reached by leaders of both the parties, in both chambers, so [...]

As per Willem Buiter, Citi Chief Economist piloting the fiscal swamp of America – even if investors don’t tumble down – will not be pretty. According to what Buiter believes the US defaulting in the midst of an impasse in Washington over lifting the cap on debt ceiling is unlikely, but at the same time [...]

Last week saw the CFPB (Consumer Financial Protection Bureau) officially opening its doors a year after its establishment under the financial reform law. One score for the consumers. However, what is still going on is the fight for creation of a bureau independent enough as well as strong enough to actually take on the banks. Stellar [...]

Next week may see the US dollar plummeting on concern that the US may no more be able to pride itself on the AAA credit rating that it used to enjoy earlier with the politicians still being indecisive on an agreement on raising the cap on debt ceiling. Now that the second rescue operation for [...]

The fiscal experts have been recommending for years that the tax reform must be reformed and the Gang of Six is also of the same opinion. If the tax code becomes better, the economy would benefit from it and debt could be reined in. However taxes can be compared to a lightening rod. Any kind [...]

3 decades have passed since 1980 when Ronald Reagan was elected, and the Republicans are still pursuing a theory by the name “Starve the Beast”, wherein for lowering the taxes, government spending is not cut, rather it is the other way round taxes are lowered in order to reduce government spending. When the government will [...]