In 15 Ways to Rethink the Federal Budget, The Hamilton Project featured a diverse group of proposals by leading budget and tax experts from a variety of backgrounds, including academia, the private sector, and a range of NGOs experts for reducing the federal deficit while also encouraging broad-based economic growth.
By making selections above, you can calculate how the implementation of various combinations of these fifteen proposals could impact the ten-year budget picture. Additionally, you can see the total deficit reduction produced by the proposals you select and the Budget Control Act of 2011 (BCA) and the American Taxpayer Relief Act of 2012 (ATRA). The feature also provides a breakdown of what fraction of the deficit reduction comes through increased revenues, decreased spending, and lower interest payments . Of course, a balanced approach to deficit reduction might require other changes but a package of these proposals can serve as a starting point for illustrating what is possible.
Several of the proposals are mutually exclusive and, therefore, cannot be selected together in the interactive feature. Further no fiscal policy occurs in a vacuum, and while this feature displays the ten-year deficit reduction and projected debt-to-GDP ratio in 2023 based on your selection of proposals, these calculations are estimates that do not take into account unforeseeable budgetary interactions or macroeconomic effects that some of the proposals may have. To read more about the individual proposals, click here.