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Washington Lets Shrinking Middle Class Twist in the Wind- Money Morning

This is a syndicated repost courtesy of Money Morning. To view original, click here. Reposted with permission. Letting sequestration happen is just the latest burden Washington’s politicians have dumped on a struggling and shrinking middle class. Unless our bickering lawmakers come up with a solution, the Congressional Budget Office estimates that sequestration could knock 0.6%…

Chinese Firms Increase Stakes in U.S. Shale Oil Projects – Money Morning

This is a syndicated repost courtesy of Money Morning. To view original, click here. Reposted with permission. China National Petroleum Corp., the country’s largest oil company, is joining a rush of Chinese companies seeking stakes in U.S. shale oil and shale gas projects. According to Bloomberg News, Chinese energy companies, both state-run and private, are…

IN PRAISE OF POLITICAL DYSFUNCTION – Marshall Auerback – New Economic Perspectives

This is a syndicated repost courtesy of New Economic Perspectives. To view original, click here. Reposted with permission. By Marshall Auerback The lamentable state of American political parties has become common sport amongst the chattering classes in DC and beyond, although one wonders whether this dysfunction has really been such a bad thing when considering…

Unpopped Housing Bubbles Abound – Charles Hugh Smith

This is a syndicated repost courtesy of oftwominds-Charles Hugh Smith. To view original, click here. Reposted with permission. History suggests that we can anticipate the eventual popping of all remaining housing bubbles. Though much has been written about the popping of the housing bubble in the U.S. and Ireland, remarkably little has been written about…

Medicare cost growth has slowed, and is already BELOW post-Simpson-Bowles cut level…

Surprise, surprise: the GOP used overly-pessimistic estimates, in order to justify ending Medicare

http://newsatjama.jama.com/2013/02/21/jama-forum-the-forecast-slowdown-in-medicare-spending-is-more-coming/

The biggest news was the “baseline”—defined as the CBO’s projections of federal revenues and spending assuming current laws remain unchanged. As has happened annually since 2010, the CBO lowered its forecast of federal health spending growth, independent of any policy action. Medicare and Medicaid costs combined are expected to be 15% lower in 2020 than was forecast just 3 years previously. In dollars, the savings for Medicare over the next 7 years are nearly $400 billion, about two-thirds as much as the revenue from the expiration of some of the high-income tax cuts that happened this January.