January 28, 2020
AAF President Douglas Holtz-Eakin Testifies on the Federal Fiscal Outlook
In testimony before the Senate Homeland Security & Government Affairs Committee this morning, AAF President Douglas Holtz-Eakin discusses the federal fiscal outlook.
His central points:
- The federal budget is on an unsustainable trajectory that cannot be fixed by tax increases or faster growth alone;
- Trust funds are budget management tools, and their projected exhaustion is a symptom of the problem and not the problem itself;
- Recent commentary to the contrary, the low interest-rate environment does not alter the basic need to address the fiscal outlook; and
- The absence of a financial crisis does not mean that excessive debt is harmless.