Have you heard about this? If not, please read ASAP. Balanced Budget Amendment Would Result in Fiscal Disaster The convention of states strategy is unprecedented. The U.S. Constitution has only been amended through a two-thirds majority vote in both houses of Congress on a specific amendment, which is then ratified by two-thirds of state legislatures. In contrast, the Article V strategy triggers a full constitutional convention, and it is unclear whether the delegates could be confined to only passing one amendment. This fear of a runaway convention has led critics on both the right and left to oppose the Article V strategy. Even if [a constitutional convention] managed to be limited to a balanced budget amendment, said Michael Leachman, Director of State Fiscal Research at the Center for Budget and Policy Priorities (CBPP), that would be very damaging to the country, the economy, and our future. A strict requirement to balance the federal budget each year would prevent the government from using deficit spending to blunt the impact of a recession. Tax revenues decline during a recession, at the same time that demand increases for spending on items like unemployment benefits, job training, and food stamps. Similarly, natural disasters can wreak havoc on the economy, and disaster relief can also require deficit spending.
Posted on: Wed, 06 Aug 2014 22:49:08 +0000
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