Erskine Bowles, former co-chairman of President Barack Obama’s debt commission, said there’s a 50 percent chance that Congress’s deficit supercommittee will agree on a plan.
Bowles, in an interview today on Bloomberg Television, said he believes a downgrade of U.S. debt is “very possible” if the supercommittee doesn’t come up with a plan to cut the deficit. Bowles and former senator Alan Simpson, who led Obama’s 2010 fiscal panel, plan to testify today before the supercommittee.
Bowles, White House chief of staff during the Clinton administration, said a $4 trillion deficit-reduction plan is the “minimum” amount needed to lower the deficit. He said there’s a 20 percent chance the commission would agree on a large-scale plan.
Simpson, a Wyoming Republican, said the committee should address tax “loopholes,” saying “that is a great advantage