A start to an explanation in today’s Times (of London).
“That was no cliff. It was a kids’ playground”
By Jeffrey Sachs
“America fights over taxes, ignores spending and creates budgetary black holes. It’s no way to run an economy
There is almost no way for a non-American to understand the context and nature of the ongoing US budget wars. They seem to have no rhyme or reason, even to an American, but especially in comparison with the budget debates in the UK. In the upside-down world of American politics, the Democrat Barack Obama has proven to be the best friend of Republican George W. Bush, championing the permanent extension of Bush’s tax cuts. This is not a sign of bipartisanship, but of incoherence”.
http://www.thetimes.co.uk/tto/opinion/columnists/article3645467.eceIf you subscribe to the on-line edition, the full article can be downloaded – otherwise there is the hard copy. Reading it I must admit I am only a little wiser. The key would appear to be “unlike the UK process, there is no budget process in the US”.
Jeffrey Sacks was quick off the mark in response to my plea - does this reflect the power of the PFMBoard?
