BudgetCuts

Spanish Government Unveils Nearly $80 Billion Austerity Plan

A day after winning EU approval for a huge bank bailout, Spain's government imposed further austerity on the country Wednesday as it unveiled sales tax hikes and spending cuts aimed at shaving $79.85 billion off the state budget over the next two and a half years.

Who Really Gets the Lion's Share of Entitlements?

Conservative politicians have spent the past few months venting their ire on America's entitlement programs, and the alleged mass of lazy layabouts who make use of them. But a closer look at who actually lands in the social safety net reveals some surprising facts.

Will Budget Cuts Leave Our Nation Defenseless? Hardly

President Obama's proposed cuts to national defense spending have critics in a panicked tizzy. But while the document outlining his plan suggests that real change is afoot, it clearly contradicts the outlandish claims of its detractors.

Deep Spending Cuts Pose a New Threat to US Economy

Just as the U.S. economy is making progress despite Europe's turmoil, here come two new threats. A congressional panel is supposed to agree by Thanksgiving on a deficit-reduction package of at least $1.2 trillion. If it fails, federal spending would automatically be cut by that amount starting in 2013.

Perry's Flat Tax Plan: Big Savings, Bigger Costs

On Tuesday, Texas Governor and GOP presidential hopeful Rick Perry finally entered the tax debate with "Cut, Balance and Grow," a startling new flat tax plan that borrows freely from Herman Cain's 9-9-9 proposal. But would it help American workers, or slash, topple and shrink the U.S. economy?

It's Europe's Fault: They're Holding Back the Recovery

Many European nations have deficits that make the U.S. look thrifty, and over a year after their problems came to light, they're still holding the worldwide recovery back. But because they share the euro, normal solutions aren't available, which means the EU must bite the bullet and accept an orderly default, or watch matters spiral downward.

Tax the Rich? 80% of Young Voters Say 'Yes'

Younger voters are weighing in extremely positively on President Obama's proposal to tax millionaires another $1.5 trillion over the next 10 years. According to a new survey, 80% of Americans under the age of 30 strongly support the move, while less than 9% oppose it.

Tea Party Rep. Spends Big Bucks to Feed His Family

What do Tea Partiers feed their families? On Monday, Rep. John Fleming (R-La.), met with MSNBC's Chris Jansing to discuss President Obama's proposed tax hikes on the wealthy. Rep. Fleming only brings home $600,000 a year, and his explanation of why that just isn't enough offers an interesting glimpse into the world of Tea Party economic theory.

Cutting Medicare Eligibility Would Cost U.S. Billions

Among the many ideas legislators in Washington have proposed for reducing federal spending is raising the age at which Americans qualify for Medicare benefits from 65 to 67. On the surface, that makes sense. But scratch the surface and the numbers show it to be an $11 billion blunder.

Irene's Aftermath: Economic Boost or Partisan Battlefield?

Now that Hurricane Irene has passed, it's time to get back to discussing the country's biggest unnatural disaster: the economy. But here, too, Irene is making her impact felt, as economists and pundits across the country debate whether the hurricane will help or hurt America's bottom line.

Medicare's Next Patient: The Federal Budget Deficit

As the federal super committee looks for $1.5 trillion in cuts, it's clear that fixing the federal budget will mean tackling big items -- including Medicare, America's most popular social program and one of its most expensive.

Pell Grant Backers Rally to Fight GOP Funding Cuts

More than 1 million of America's poorest college students may have to take out bigger loans, find another way to pay tuition, or drop out in 2012, if Republican budget cuts are passed that shrink the government's Pell grant program. But supporters are mobilizing in an online rally Monday for "Save Pell Day."

What Stops When a State Gov't Shuts Down?

The government of Minnesota has been essentially shuttered for a week since the governor and legislature failed to find a compromise solution for the state's $5 billion shortfall. But it's hard to imagine what it means to "shut down" a state of 5.3 million people. Here's what it means to them.

All's fair in love and politics

When Michigan Gov. Jennifer Granholm gives her State of the State address tomorrow, one of her proposals will be to save money by ending funding for...