The cost of the big entitlements-Social Security, Medicare, and
Medicaid-is set to explode, and if America does nothing, these
entitlements will crowd out other federal spending and push taxes
to unprecedented heights.
In this brief presentation, The Heritage Foundation's Stuart
Butler looks at future spending and tax projections. He shows
that not only is a tsunami wave of health and retirement spending
poised to increase the size of government dramatically, but also
taxes as a share of the economy are scheduled to rise to European
levels-despite the Bush tax cuts. The solution is
straightforward: Sharply reduce entitlements and
taxes.
Click here to view presentation.
For background on the growing future tax burden, see Daniel J.
Mitchell, Ph.D., and Stuart M. Butler, Ph.D., "What Is Really Happening to
Government Revenues: Long-Run Forecasts Show Sharp Rise in Tax
Burden," Heritage Foundation Backgrounder No. 1957, July
28, 2006.
Stuart M. Butler,
Ph.D., is Vice President for Domestic and Economic
Policy Studies at The Heritage Foundation.