The Pros and Cons of Ryan’s 2015 Path to Prosperity Budget

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from Heritage Foundation,

A budget proposal released yesterday by Rep. Paul Ryan (R-WI) would balance balance the budget and reduce the debt by cutting spending, reforming poverty programs, repealing Obamacare, and reforming health care entitlement programs, which are the largest drivers of deficit spending and debt.

Heritage Foundation expert Romina Boccia looked closely into Ryan’s budget and found many other good elements, including its tax reforms and proposals on defense, energy, education, and transporation policy. She did identify several areas for improvement, such as the long delay before critical Medicare reforms are implemented.

Read her full analysis of Ryan’s budget on the Foundry.

In numbers, the Ryan Budget would:

– Cut spending by $5.1 trillion, including about $800 billion in lower interest costs.
– Achieve the biggest spending savings, $2 trillion, from repealing Obamacare.
– Keep a cap on discretionary spending through the end of the10-year budget window, after the BCA expires in 2021.
– Reduce the public debt from 73 percent of GDP in 2015 to 56 percent of GDP by 2024.
– Increase spending in nominal terms from $3.6 trillion (20.2 percent of GDP) to just shy of $5 trillion in 2024 (18.4 percent of GDP), spending $1 trillion less in 2024 than the President’s Budget called for.

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