The Return of Deficit Economics

Again and again over the past few years I’ve said that it was premature to worry about the deficit. In 2018 I argued there was no need to insist that President Donald Trump’s tax cuts be paid for. In 2021 I wrote that Congress needn’t skimp on a third round of pandemic relief.

I would now like to make an announcement: I am beginning to be worried about the deficit. High U.S. budget deficits are not a problem yet, but it’s quite possible they will be in the near future. Congress should be looking for ways to end both excess spending and unproductive tax breaks for higher-income Americans.