Central banks seek to backstop global financial system, writes David McHugh and Paul Wiseman. Coordinated efforts by central banks around the world seek to make it easier for businesses to borrow money, hopefully forestalling a global recession. Don’s comment: I am not sure if these efforts will work, or even what the definition of what work means, but if the U.S. and the rest of the world slip into a recession, then all of the short, medium and long range fiscal problems discussed on this blog will be even worse as tax revenues fall. Even the scary scenarios a decade out assume some consistent economic growth over the period.
Via Igor Volsky: “Republicans push for greater means testing in Medicare: ‘Republicans are proposing means-testing Medicare in order to pay for an extension of the payroll tax cut, The Hill’s Bernie Becker and Erik Wasson report. The idea of reducing federal benefits for higher-income earners was embraced by President Obama during the recent debt negotiations.’ [The Hill]” Austin’s comment: Means testing already exists in Medicare. AARP opposes more of it.