The Winding Road To A Better Budget

On the face of it, the news from Washington is bad again. The Administration's energy tax, the "BTU" levy on the heat content of fuels, was nibbled to death by lobbyists in the Senate, to the point where President Clinton was forced to drop it entirely from his budget package. As the only broad-based tax capable of raising $75 billion, the energy tax is central to Clinton's plan to reduce the federal deficit by $330 billion over five years. Coming just weeks before the July 7 economic summit in Tokyo, it looks to be one more retreat and defeat for the Administration and the country.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.