!! History Commons Alert, Exciting News

Profile: Congressional Budget Office (CBO)

Congressional Budget Office (CBO) was a participant or observer in the following events:

The Congressional Budget and Impoundment Control Act becomes law. The act establishes the Congressional Budget Office (CBO) and restricts the ability of the president to block the use of funds once they have been appropriated by Congress. [Roberts, 2008, pp. 10]

Entity Tags: Congressional Budget Office, Congressional Budget and Impoundment Control Act

Timeline Tags: Civil Liberties

The non-partisan Congressional Budget Office estimates that a “heavy ground war” with three months of fighting, followed by a five-year occupation force could cost more than $272 billion. [Associated Press, 10/1/2002; US Congressional Budget Office, 10/4/2002 pdf file; CNBC, 10/21/2002]

Entity Tags: Congressional Budget Office

Timeline Tags: Events Leading to Iraq Invasion

Conservatives and Congressional Republicans attack President Obama’s economic stimulus plan with a variety of claims centering on “earmarks” or “Democratic pork.” One claim is that the stimulus package wastes hundreds of millions of dollars on funding for contraceptives. “You know, I’m concerned about the size of the package.” says House Minority Leader John Boehner (R-OH). “And I’m concerned about some of the spending that’s in there, [about]… how you can spend hundreds of millions on contraceptives. How does that stimulate the economy?” [New York Post, 1/26/2009]
Reduces Costs to State, Federal Budgets - House Speaker Nancy Pelosi (D-CA) explains the rationale behind the funding: “Well, the family planning services reduce cost. They reduce cost. The states are in terrible fiscal budget crises now and part of what we do for children’s health, education, and some of those elements are to help the states meet their financial needs. One of those—one of the initiatives you mentioned, the contraception, will reduce costs to the states and to the federal government.” [Think Progress, 1/26/2009]
Limbaugh's Suggestion - Conservative talk show host Rush Limbaugh retorts that if Pelosi “wants fewer births, I have the way to do this and it won’t require any contraception: You simply put pictures of Nancy Pelosi… in every cheap motel room.… That will keep birthrates down because that picture will keep a lot of things down.” [Media Matters, 1/26/2009]
Savings of $700 Million - The language of the stimulus bill reads: “Under current law, the secretary [of health and human services] has the authority under section 1115 of the Social Security Act to grant waivers to states to allow them to cover family planning services and supplies to low-income women who are not otherwise eligible for Medicaid. The bill would give states the option to provide such coverage without obtaining a waiver. States could continue to use the existing waiver authority if they preferred.” The Center for American Progress (CAP), a progressive think tank, explains that this portion of the stimulus bill “would not only aid states, but also provide preventative, cost-saving health care to help low-income women support their families and keep working.” According to the Congressional Budget Office (CBO), the measure would save the nation $200 million over five years and $700 million over 10 years. States that choose not to participate in the program are not required to do so. Representative James Clyburn (D-SC) notes, “I think that Mr. Boehner is looking for one little sound bite rather than looking at the total package here and seeing what it will do for the American people.” [Think Progress, 1/26/2009]

Entity Tags: Rush Limbaugh, James Clyburn, Congressional Budget Office, Center for American Progress, John Boehner, US Department of Health and Human Services, Nancy Pelosi

Timeline Tags: Global Economic Crises

The Office of the Speaker of the House, Nancy Pelosi (D-CA), releases a fact sheet contradicting what it calls “a myth opponents of health insurance reform have been spreading: that people would be ‘forced’ to choose a public health insurance option, and falsely attributes it to the Congressional Budget Office (CBO).” The claim has circulated throughout the media, Pelosi’s office notes, and says, “In fact, the public option in America’s Affordable Health Choices Act simply provides those using the Health Insurance Exchange a choice between various private plans and a public plan—with the choice being made by the individual, never an employer.” The fact sheet notes four instances of the claim being made on August 16 alone:
bullet Representative Tom Price (R-GA) tells an Associated Press reporter that the Democrats’ reform bill would force citizens to abandon their private health care plans in favor of a government-run plan, and says the CBO supports his claim.
bullet ABC reporter Jake Tapper, on ABC’s This Week with George Stephanopoulos, asks, “How can the administration make the promise that if you like your insurance plan you can keep it, when CBO and other analysts estimate that some people will be switched from private to public?”
bullet Fox News anchor Chris Wallace, on Fox News Sunday, tells his listeners of “a study by the nonpartisan Congressional Budget Office which found that by 2016, 9 million people will no longer have their employer-based plan under health care reform because businesses would decide in many cases that it’s cheaper simply to pay the penalty and push people into a public plan.”
bullet David Gregory, the anchor of NBC’s flagship Sunday talk show Meet the Press, asks, “Does he [President Obama] undermine his credibility when he makes some claims like, if you like your insurance you can keep your insurance, when a lot of people have said not really; employers could drop people from insurance if they wanted to move people into a public plan, if that existed?”
Pelosi’s office states that, unlike the claims and questions advanced by Price, Tapper, Wallace, and Gregory, the CBO has noted that under all versions of reform legislation, US citizens would retain the choice of whether to keep their existing insurance or join the “public option” government program. [Speaker of the House, 8/17/2009]

Entity Tags: Chris Wallace, America’s Affordable Health Choices Act, Jake Tapper, Nancy Pelosi, Tom Price, Office of the Speaker of the House, David Gregory, Congressional Budget Office

Timeline Tags: US Health Care, Domestic Propaganda

Max Baucus (D-MT), the chairman of the Senate Finance Committee, releases his committee’s final version of health care reform, a version known as the “chairman’s mark.” None of the Republicans on the committee support the bill (known as the “America’s Healthy Future Act,” or AHFA), and some Democrats, including John D. Rockefeller (D-WV), have serious questions about it as well. Baucus says: “The $856 billion dollar package will not add to the federal deficit. The Finance Committee will meet to begin voting on the chairman’s mark next week.” An analysis by the Congressional Budget Office (CBO) shows that the bill will actually “result in a net reduction in federal budget deficits of $49 billion over the 2010-2019 period.” Senators Charles Grassley (R-IA) and Mike Enzi (D-WY) have said that they want a much smaller bill that imposes no fees on health insurance companies, prevents legal immigrants from gaining coverage for five years, and bans any federal coverage for abortions. The Baucus bill does not allow for federal monies to be used for abortions, as Republicans have insisted upon, with the exception of situations involving rape or incest. Illegal immigrants are not provided coverage through the bill; legal immigrants cannot get government subsidies and must wait five years before qualifying for Medicaid. Immigrants’ citizenship status will be verified, as Republicans have requested. Another Republican provision, “tort reform” (efforts to reduce legal claims against doctors and HMOs), is part of the bill. There is no “public option” for government-financed health care for uninsured citizens, as Republicans and conservative Democrats have demanded. The bill allows for the purchasing of insurance across state lines, for “high-deductible” policies, and for so-called “high-risk pools,” three provisions Republicans have demanded. And, beginning in 2014, federal monies will be made available “to all states to defray the costs of covering newly-eligible beneficiaries.” [111th Congress, 1st Session, 9/16/2009; Think Progress, 9/16/2009; Think Progress, 9/17/2009] Even after seeing a bill with so many inclusions they have asked for, Senate Republicans continue to insist that there is nothing in the bill they can support. [Think Progress, 9/17/2009]

Entity Tags: Senate Finance Committee, Congressional Budget Office, Charles Grassley, Max Baucus, John D. Rockefeller, Mike Enzi

Timeline Tags: US Health Care

America’s Health Insurance Plans (AHIP), the health insurance industry’s largest lobbying organization, releases a study that claims the Democrats’ health care reform initiative would send health insurance costs sharply upward. The study is released the day before the Senate Finance Committee votes on its version of the reform proposal. [The Week, 10/12/2009] AHIP says it intends to circulate the study among lawmakers on Capitol Hill and use it as the basis for new advertisements attacking the health care reform proposals. [Washington Post, 10/12/2009] NBC Washington calls the study “a surgical strike against Democrats’ best hope for passing health reform,” specifically targeting the Finance Committee’s legislative efforts, which it calls the “Baucus bill” for committee chairman Max Baucus (D-MT). Until now, AHIP has operated largely behind the scenes to delay or terminate Congressional efforts to reform US health care; the study marks its most public and overt effort to influence the discussion. According to the study, which was carried out by accounting and services firm PriceWaterhouseCoopers (PWC) and paid for by AHIP, the average cost increase would be $1,700 per family per year by 2013. “[T]he cumulative increases in the cost of a typical family policy… will be approximately $20,700 more than it would be under the current system,” the report claims. “[T]he cost of coverage for both single and family policies in the individual, small group, large group, and self-funded insurance markets” will rise dramatically. AHIP official Karen Ignagni says private insurers would almost certainly pass cost increases to consumers for a number of reasons, including her claim that too many people with pre-existing conditions would sign up for insurance. “The report makes clear that several major provisions in the current legislative proposal will cause health care costs to increase far faster and higher than they would under the current system,” she writes. Baucus calls the study “seriously flawed.” A spokesman for the Finance Committee, Scott Mulhauser, says: “Now that health care reform grows ever closer, these health insurers are breaking out the same, tired playbook of deception to prevent millions of Americans from getting the affordable, accessible care they need. It’s a health insurance company hatchet job, plain and simple.” [America's Health Insurance Plans, 10/11/2009; NBC Washington, 10/12/2009; Washington Post, 10/12/2009] An analysis of the committee’s proposal by the Congressional Budget Office (CBO) shows that while some people’s premiums would go up, the subsidies to be provided by the government would make health insurance considerably less expensive for most consumers. According to the CBO, premiums under the government “exchange” option proposed in the Baucus bill would cost consumers $14,400 per year in 2016, while the average private insurer would charge their customers $21,300 by 2016. [Think Progress, 10/12/2009] Nancy-Anne DeParle, director of the White House Office of Health Reform, says PWC is not the firm to have carried out such a study. “Those guys specialize in tax shelters,” she says. “Clearly this is not their area of expertise.” [Washington Post, 10/12/2009] Almost immediately after the study’s release, critics begin attacking it, calling it deeply flawed and an “industry hit job” (see October 11-12, 2009). And PWC itself will back away from the study’s central claims (see October 12, 2009).

Entity Tags: Scott Mulhauser, Max Baucus, Karen Ignagni, Nancy-Anne DeParle, Senate Finance Committee, Congressional Budget Office, PriceWaterhouseCoopers, America’s Health Insurance Plans

Timeline Tags: US Health Care

Within minutes of the release of a new study by health insurance lobbying firm America’s Health Insurance Plans (AHIP) that claims health care reform would drastically raise costs to American families (see October 11, 2009), critics from different sides of the political divide dispute the study’s accuracy and question its impartiality.
White House: Study Ignores Key Elements of Reform - White House assistant press secretary Reid Cherlin says the study “conveniently ignores critical policies that will lower costs for those who have insurance, expand coverage, and provide affordable health insurance options to millions of Americans who are priced out of today’s health insurance market or are locked out by unfair insurance company practices.” [MSNBC, 10/12/2009]
'Blowback' from Study Possible - White House and Senate officials say that the insurance industry may suffer “blowback” over the report. Democrats may well close ranks behind either the Senate Finance Committee (SFC) bill or another version of the legislation, and liberal lawmakers may go after the insurance companies, maybe by proposing a cap on premiums or solidifying support for the government insurance plan. “They have opened themselves up,” says a senior Senate Democratic aide. “It is an incredibly stupid strategic blunder. If you are going to fire a shot like this, you fire a good shot.” Former industry executive Wendell Potter, who has become an industry whistleblower (see July 10, 2009), says AHIP is responding to critical analyses from Wall Street that the legislation will hurt private insurers. “Karen [AHIP official Karen Ignagni] had no alternative because the CEOs were so determined to do something to try to sway the committee to back off the reductions,” he says. “She didn’t have an alternative. They are obviously doing this on the eve of the vote in the Senate Finance Committee, hoping enough members of the committee would be concerned, to restore it. I think the strategy will backfire.” [Politico, 10/12/2009]
Economist: Study Fundamentally Flawed - MIT economist Jonathan Gruber analyzes the PWC study and concludes that it is fundamentally flawed. He writes: “The nonpartisan analysis based on information from the CBO [Congressional Budget Office] shows clearly that for those facing purchase in the non-group market, the SFC bill will deliver savings ranging from several hundred dollars for the youngest consumers to over $8,500 for families. This is in addition to all the other benefits that this legislation will deliver to those consumers—in particular the guarantee, unavailable in most states, that prices would not be raised or the policy revoked if they became ill.” On MSNBC, Gruber notes: “If the report had came out and said, ‘look we need stronger penalties, or premiums will go up,’ that’s a very valid point to make. But what the report says is that it went too far. It said with the current structure, premiums will be much higher than they are today. And that’s just wrong. I mean, the nonpartisan Congressional Budget Office has came out and said that for this bill, premiums in the exchange will be lower than they are in the none group market today. So they just drew the wrong comparison.” [Massachusetts Institute of Technology, 10/12/2009; Think Progress, 10/13/2009]
Democrats: Proof that Industry Needs Further Regulation - Representative Anthony Weiner (D-NY) says, “[T]he health insurance lobby today fired the most important salvo in weeks for the public option,” and adds that the study proves the industry needs further regulations imposed on it by Congress: “If you have the health care industry complaining that we’re going to raise costs because of these changes, it is them putting us on notice that we haven’t put enough cost containment in the bill. You know, the health care industry themselves is putting out a whole report saying that. That should be a tell to the [Senate Finance Committee] that you know what, maybe it’s time for them to go back and revisit the public option. In a strange way, and look, obviously they didn’t mean this, the health insurance lobby today fired the most important salvo in weeks for the public option, because they have said, as clear as day, left to their own devices, according to their own number crunchers, they’re going to raise rates 111 percent.” [Think Progress, 10/12/2009] Senator John D. Rockefeller (D-WV) charges the insurance industry with releasing a false study for political purposes. “The misleading and harmful claims made by the profit-driven insurance companies are politicking for corporate gain at its worst,” he says. “Their recent statements only further highlight that our focus here in Congress must be on the inclusion of a public health insurance option in the marketplace to protect families and put more money back in their wallets by creating greater competition and driving down costs.” [Politico, 10/12/2009]
Washington Post: 'Industry Hit Job' - The Washington Post’s Ezra Klein calls the report “deceptive” and “a predictable industry hit job,” and notes that the study was produced by accounting and services firm PriceWaterhouseCoopers (PWC), which in the 1990s was commissioned by the tobacco industry to do a study on the economic catastrophe that would result from taxing tobacco products. That study was found to be unreliable, and, perhaps not surprisingly, made all of its errors in favor of the tobacco industry. Klein writes that the same effect can be observed in this report on health care. He concludes: “But if the [study] doesn’t offer much in the way of trustworthy policy analysis, it is an interesting looking at the changing politics of the issue. In short, the insurance industry is getting scared. After many months of quiet constructiveness, they’re launching a broadside on the week of the Senate Finance Committee’s vote. The White House, which had a pleasant meeting with the industry’s leadership last week, was shocked by the report, and so too was the Senate Finance Committee. The era of cooperation seems to be over, and they weren’t given much advance warning. But the report might have another impact, too: The evident anger and fear of the insurance industry might do a bit to reassure liberals that this plan is worth supporting, after all.” [Washington Post, 10/12/2009]
New Republic: 'Questionable Assumptions' - The New Republic’s Jonathan Cohn chastizes PriceWaterhouse for deliberately, and explictly, choosing to believe that all the new factors included in the study will raise costs, when other analyses show that many of those factors will actually drive costs down. Cohn writes that the study is based on a plethora of “strange [and] questionable assumptions.” [New Republic, 10/11/2009]
Progressive Columnist: 'This Is News?' - Progressive columnist Josh Marshall wrote before the study was released: “Let me get this right. The big news tomorrow is that ‘America’s Health Insurance Plans’ (AHIP, aka the health insurance lobby) has commissioned a study by PriceWaterHouseCoopers that comes to the conclusion that the Senate Finance Committee bill is a bad, bad thing and would lead to health care costs going up even faster than they are under the current system. This is news?” [Talking Points Memo, 10/12/2009]
Washington Times: Defending the Study, Attacking the CBO - The conservative Washington Times defends the study as essentially accurate, and instead attacks the Congressional Budget Office, whose own figures differ dramatically from the PWC study. The Times editorial board calls the CBO’s estimates “fanciful” and “grandly overoptimistic,” and accuses the Democrats of adding opportunities for consumers to “game the system”—“It’s a mystery how the CBO can make its evaluation without once mentioning that individuals easily will be able to go without insurance while they are healthy and then buy insurance after they get sick.” The entire proposal allows Democrats to “avoid electoral accountability over the urgent health care needs of the people they say they’re trying to help but won’t.” [Washington Times, 10/12/2009]
AHIP Defends Study - Ignagni defends the study and says the lobbying firm did not release it to undermine the Finance Committee’s attempt to craft an acceptable reform bill. She says the industry’s main concern is getting everyone involved in health care to work together to bring costs down. There is a strong need, she says, to “encourage all the other stakeholders to participate in a broader effort so that they can too lend a hand and get costs under control in a much more effective way than we would.… We don’t see comprehensive cost control in any legislation.” [MSNBC, 10/12/2009]
PWC Backs Off from Study - Late in the evening, PWC issues a statement noting that the study only examined “a small slice” of the health care reform initiative, and saying that if other provisions in the reform package succeed in lowering costs, then the estimates of cost increases claimed in the study would be inaccurate (see October 12, 2009).

Entity Tags: America’s Health Insurance Plans, Anthony D. Weiner, Jonathan Gruber, Congressional Budget Office, Ezra Klein, Jonathan Cohn, Wendell Potter, John D. Rockefeller, PriceWaterhouseCoopers, Karen Ignagni, Washington Times, Obama administration, Joshua Micah Marshall, Reid Cherlin, Senate Finance Committee

Timeline Tags: US Health Care

The progressive media watchdog organization Media Matters disproves a number of “factual” claims in a recent article by conservative author Dinesh D’Souza, who claims that President Obama is driven by “anticolonial” rage sparked by his alleged identification with his Kenyan father (see September 12, 2010). Media Matters notes the following:
bullet D’Souza claims that Obama “supported the conditional release” of Abdel Baset al-Megrahi, the “Lockerbie Bomber,” because he sees al-Megrahi as a “fellow anticolonialist,” when in reality the Obama administration informed Scotland that it opposed al-Megrahi’s release.
bullet D’Souza claims that Obama supports “oil drilling off the coast of Brazil but not in America,” in the form of a $2 billion Export-Import (Ex-Im) Bank loan to Brazil for exploratory drilling. In reality, the Obama administration had no say in the Ex-Im’s decision, and all five members of the bank’s board of directors were Bush administration appointees. (Forbes will conduct a fact-check after publication that garners harsh criticism from the bank over D’Souza’s misrepresentation of facts—see September 23-24, 2010.)
bullet D’Souza claims that Obama spent the first 17 years of his life “in Hawaii, Indonesia, and Pakistan.” D’Souza admits that he erred in this claim, as Obama never visited Pakistan until he was 20, and then only for three weeks.
bullet D’Souza claims that Obama’s June 2010 speech in response to the Gulf oil spill did not focus on cleanup strategies, but instead lambasted the US for its outsized oil consumption. While Obama did mention America’s disproportionate oil consumption, the central focus of his speech was the federal government’s response to the spill. (Forbes will correct this error and acknowledge that Obama’s speech indeed focused on cleaning up the oil spill—see September 23-24, 2010.)
bullet D’Souza claims that the 2009 economic stimulus (see November 18, 2008, February 10, 2009, February 13, 2009, February 17, 2009, February 23, 2009, February 28, 2009, March 9, 2009, April 9, 2009, April 16, 2009, June 9, 2009, and August 9, 2009) failed to reduce unemployment; the Congressional Budget Office (CBO) has stated that unemployment would be as much as 1.8 percent higher without the stimulus, numbering up to 3.3 million people who would not have jobs. Private analysts such as the Council of Economic Advisers agree with the CBO’s assessment.
bullet D’Souza claims that a controversial New York City Islamic center, which he calls a “mosque,” is to be built “near the site where terrorists in the name of Islam brought down the World Trade Center… at Ground Zero.” In reality, the proposed Islamic community center, Cordoba House (later renamed Park51), is two city blocks away from the site of the World Trade Center.
bullet D’Souza claims Obama does not believe in “American exceptionalism,” and says that Obama’s dreams are not “the American dreams,” but “something else… certainly not the American dream as conceived by the founders.” In reality, Obama has said time and again that he unequivocally believes in American exceptionalism, and has repeatedly stated his pride in being an American.
bullet D’Souza claims that Obama sees his father as a “hero” who “represented a great and noble cause.” In reality, Obama’s memoir, Dreams from My Father, offered a largely critical portrait of Obama’s father. As Washington Post media critic Howard Kurtz notes, “[T]hat book describes a young man’s struggle to understand his African roots and the father he never really knew, and offers a largely critical portrait of the Harvard-educated man who left his family.” Media Matters cites numerous other historians and reviewers who read Obama’s memoir as being highly critical of his father. As Reason Magazine’s Tim Cavanaugh wrote on the day D’Souza’s article was published, the memoir is “a narrative of Obama’s non-relationship with his father,” and continued, “[T]here is no evidence for the claim that the elder Obama bequeathed his son a coherent or even a partial political philosophy.”
bullet D’Souza claims that Obama opposes US military action in Afghanistan, because of his “anticolonial” bent. In reality, Obama campaigned on the idea that the US invasion of Afghanistan was an “absolutely vital” response to 9/11, and has made statements to that effect as far back as October 2001. As president, Obama has increased troop levels in Afghanistan and has said that US “security is at stake in Afghanistan.”
bullet D’Souza claims that Obama views “free market” as “code words for economic plunder,” saying that Obama views “the rich as an oppressive class, a kind of neocolonial power within America.” In reality, Obama has repeatedly praised the free market, and has consistently supported America’s large and small businesses in his economic policies. [Media Matters, 9/16/2010]

Entity Tags: Tim Cavanaugh, Howard Kurtz, Congressional Budget Office, Barack Obama, Abdel Baset al-Megrahi, Media Matters, Park51, Dinesh D’Souza, Council of Economic Advisers, Export-Import Bank

Timeline Tags: Domestic Propaganda

Representative Michele Bachmann (R-MN) tells a CBS News viewing audience that the Obama administration is lying when it says the US government would default on its loans if Congress refuses to raise the US debt ceiling. Bachmann accuses the Obama administration of using “scare tactics” to push for a debt-ceiling increase. Bachmann has said previously that Congress should not raise the debt ceiling (see April 30, 2011). Treasury Secretary Timothy Geithner and other Obama adminstration members, along with a bevy of economists and financial leaders including Federal Reserve Chairman Ben Bernanke and former Chairman Alan Greenspan, have urged Congress to raise the debt ceiling by August 2 to avoid the US defaulting on its outstanding loans and engendering what many call an economic catastrophe (see May 20, 2011). The US Treasury has used accounting steps, what it calls “extraordinary measures,” to avoid default since the nation reached its debt limit on May 16. The final deadline for the US to raise its debt limit is August 2. Bernanke and others have said that even a brief US default could cause an uproar in the global economy. But Bachmann says she has “no intention” of voting for a hike to the limit, saying instead: “It isn’t true that the government would default on its debt. Because, very simply, the Treasury secretary can pay the interest on the debt first, and then, from there, we have to just prioritize our spending.” Face the Nation host Bob Schieffer asks Bachman: “Experts inside and outside the government say that, if we don’t raise the debt ceiling, we face the United States having to default on its financial obligations. Are you saying these are scare tactics? Or are you saying that’s not true? How can you say that?” Bachmann replies: “It is scare tactics. Because, Bob, the interest on the debt isn’t any more than 10 percent of what we’re taking in. In fact, it’s less than that. And so the Treasury secretary can very simply pay the interest on the debt first, then we’re not in default.… What it means is we have to seriously prioritize. It would be very tough love. But, I have been here long enough in Washington, DC, that I’ve seen smoke and mirrors time and time again.” Bachmann says if elected president, she would end the nation’s deficit problem by making extreme cuts in spending. “I would begin very seriously by cutting spending,” she says. “President Obama, again, he spent a trillion dollar stimulus program that’s been an abject failure. We need to seriously cut back on spending first and foremost, and then prioritize.” Her only recommendation to handle the job crisis is to cut corporate tax rates; she explains: “We have one of the highest corporate tax rates in the world; we need to drop that significantly, so that we have a pro-business, pro-job creation environment. So if we cut back the corporate tax rate, if we would zero out the capital gains rates, allow for 100 percent expensing when a job creator buys equipment for their business, that would go a long way toward job creators recognizing that this is a pro-business environment.” She says that the administration’s health care package, which she calls “Obamacare,” will cost “800,000 jobs.” Schieffer says, “That is data that other people would question,” and she retorts by saying the Congressional Budget Office (CBO), not she herself, has made that claim. A recent analysis by the St. Petersburg Times’s PolitiFact showed that Bachmann’s claim of “Obamacare” costing 800,000 jobs is an “exaggeration” of the CBO’s figures, and is “misleading.” Bachmann dodges questions about the elimination of the minimum wage, which she has advocated since 2005, and the elimination of farm subsidies, from which she and her family have benefited. [CBS News, 6/26/2011]

Entity Tags: CBS News, Alan Greenspan, Barack Obama, Bob Schieffer, US Department of the Treasury, PolitiFact (.org ), Congressional Budget Office, Ben Bernanke, Obama administration, Michele Bachmann, Timothy Geithner

Timeline Tags: Global Economic Crises

In an interview with CBS News’s Scott Pelley, House Speaker John Boehner (R-OH) says that he got “98 percent” of what he wanted in a deal with Senate Democrats and the White House in the just-concluded debt ceiling extension legislation. Boehner says he and his House Republicans successfully blocked a comprehensive “grand bargain” with the Obama administration because, as he says, the “president was insisting on more taxes [and] never got serious about the kind of spending cuts that were necessary in order to get America back on a sound fiscal footing.” He tells Pelley that he “walked away” from Obama’s final proposal. “We had a lot of productive conversations, a lot of tense conversations,” Boehner says. “But it became pretty clear to me that I wasn’t going to be for higher taxes, and the president wasn’t going to cut spending as he should.… I told the president: ‘I’m not going there. I can’t do that.’” Boehner says that he has no intention at this time of ever supporting revenue increases of any sort, whether it be tax increases, closing of corporate tax loopholes, or other ways to bring more revenue into federal government; instead, he hopes that the future focus of Congressional debate “will be on reducing expenditures coming out of Washington.” Asked if Republicans would ever support tax increases, Boehner says: “I think that would be a stretch. It doesn’t seem likely to me that that would be recommended, much less supported, but I’ve been surprised before.” He concludes: “When you look at this final agreement that we came to with the White House, I got 98 percent of what I wanted. I’m pretty happy.” Sixty-six House Republicans voted against Boehner’s final plan, though it passed both chambers and was signed into law by Obama hours before the US would have defaulted on its debt. According to the Congressional Budget Office, the deal cuts federal deficits by $2.1 trillion over 10 years while also raising the debt limit by an equal amount. The deal also creates a joint, bicameral committee of legislators charged with finding additional cuts. [CBS News, 8/1/2011; The Hill, 8/1/2011] Days later, Standard & Poor’s cuts the US credit rating (see August 5, 2011). Republicans, including Boehner, will blame Obama for the legislation and the resulting credit reduction (see August 6-9, 2011).

Entity Tags: Standard & Poor’s, Congressional Budget Office, CBS News, John Boehner, Scott Pelley, US House of Representatives, US Senate, Obama administration

Timeline Tags: Global Economic Crises

The nonpartisan Center on Budget and Policy Priorities (CBPP) finds that the Supplemental Nutrition Assistance Program (SNAP), formerly the “food stamp” program, is playing a critical role in keeping American citizens from starving during the economic recession. The program has long been reviled by Republicans and conservatives, and recently Republican presidential contender Newt Gingrich (R-GA) smeared President Obama as “the food stamp president” (see November 30 - December 2, 2011 and January 5, 2012), and falsely claimed that Obama has presided over the largest increase of Americans receiving SNAP assistance in US history (see January 17, 2012). The program benefits a disproportionately large number of children and disabled and elderly people, according to the CBPP. Since the recession began in late 2007, the CBPP says, “SNAP has responded effectively to the recession” in providing much-needed assistance to Americans, particularly since the recession has driven many families into “low-income” status. “According to the Census Bureau’s Supplemental Poverty Measure, which counts SNAP as income, SNAP kept more than 5 million people out of poverty in 2010 and lessened the severity of poverty for millions of others.” As the economy recovers and legislative provisions expire, SNAP spending will decrease, according to Congressional Budget Office (CBO) predictions. “By 2022 SNAP is expected to return nearly to pre-recession levels as a share of GDP. Over the long term, SNAP is not growing faster than the overall economy and thus is not contributing to the nation’s long-term fiscal problems.” The payment accuracy of SNAP is extraordinarily high, the CBPP claims, refuting the claims of massive fraud made by Gingrich and other opponents of the program. And, according to the CBPP, economists say that the program is “one of the most effective forms of economic stimulus,” helping grow the economy as it protects poverty-stricken families. [Center on Budget and Policy Priorities, 1/9/2012]

Entity Tags: Center on Budget and Policy Priorities, Barack Obama, US Census Bureau, Supplemental Nutrition Assistance Program, Newt Gingrich, Congressional Budget Office

Timeline Tags: Global Economic Crises

Ordering 

Time period


Email Updates

Receive weekly email updates summarizing what contributors have added to the History Commons database

 
Donate

Developing and maintaining this site is very labor intensive. If you find it useful, please give us a hand and donate what you can.
Donate Now

Volunteer

If you would like to help us with this effort, please contact us. We need help with programming (Java, JDO, mysql, and xml), design, networking, and publicity. If you want to contribute information to this site, click the register link at the top of the page, and start contributing.
Contact Us

Creative Commons License Except where otherwise noted, the textual content of each timeline is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike