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The Pay Go Lie

June 1, 2010

If you think that this is wasting money...

Recently, the US Debt Clock ticked over $13 Trillion, which is interesting because 4 months ago the Congress enacted PAYGO rules for every new bill introduced.

PAYGO compels new spending or tax changes to not add to the federal deficit. Not to be confused with pay-as-you-go financing, which is when a government saves up money to fund a specific project.  Under the PAYGO rules a new proposal must either be “budget neutral” or offset with savings derived from existing funds.  The goal of this is to require those in control of the budget to engage in the diligence of prioritizing expenses and exercising fiscal restraint.

Since the law passed, Congress has completely ignored it.

The ink is barely dry on the pay-as-you-go law, and Democrats are seeking to bypass it to enact parts of their job-creation agenda.

The story from ABC News:

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