Spring Break
The Daily OrangeProfessor works on Bush's new budget plan
By Nicky Corbett
Posted: 2/18/05, 12:12 AM EST Section: News
A Syracuse University professor, on leave from teaching since 2001, is now busy overseeing the analysis of President George W. Bush's proposed $2.57 trillion national budget, which was presented to Congress last week.
As director of the Congressional Budget Office since 2003, SU economics professor Douglas Holtz-Eakin manages the research of 230 CBO employees, who are now dissecting the proposed fiscal 2006 budget for a report in March of the plan's fiscal implications.
"It speaks well for the university," said Jeffrey Evans, a senior economics and psychology major. "It develops a good reputation for the economics department as well."
The budget analysis process for the CBO starts with a report put out in Jan. of what the budget would look like if nothing changed, Holtz-Eakin said. Then the president proposes his own budget, and the CBO spends the following month analyzing it.
After the CBO's report comes out in March, Congress then changes the budget around. By April, a blueprint for what Congress wants to do in 2006 is formed. The end result comes out much different than what it started out as, Holtz-Eakin said.
The basic strategy of Bush's proposed budget is to try to reduce the deficit by putting heavy control on domestic spending. Since this accounts for less than one-sixth of the budget, Holtz-Eakin said it makes it harder to cut the deficit by focusing on only this small part of the budget.
The budget does not include the president's tax policy, Social Security or the costs of the Iraq war either, Holtz-Eakin added.
As for the president's goal to cut the deficit in half by 2009, Holtz-Eakin said it looks possible.
"I think the budget arithmetic is there, but whether it matches the political map is another thing all together," he said.
Holtz-Eakin recommends college students pay attention to what Congress decides to do about financial aid - such as Pell Grants and student loans - in the budget revision.
As director of the Congressional Budget Office since 2003, SU economics professor Douglas Holtz-Eakin manages the research of 230 CBO employees, who are now dissecting the proposed fiscal 2006 budget for a report in March of the plan's fiscal implications.
"It speaks well for the university," said Jeffrey Evans, a senior economics and psychology major. "It develops a good reputation for the economics department as well."
The budget analysis process for the CBO starts with a report put out in Jan. of what the budget would look like if nothing changed, Holtz-Eakin said. Then the president proposes his own budget, and the CBO spends the following month analyzing it.
After the CBO's report comes out in March, Congress then changes the budget around. By April, a blueprint for what Congress wants to do in 2006 is formed. The end result comes out much different than what it started out as, Holtz-Eakin said.
The basic strategy of Bush's proposed budget is to try to reduce the deficit by putting heavy control on domestic spending. Since this accounts for less than one-sixth of the budget, Holtz-Eakin said it makes it harder to cut the deficit by focusing on only this small part of the budget.
The budget does not include the president's tax policy, Social Security or the costs of the Iraq war either, Holtz-Eakin added.
As for the president's goal to cut the deficit in half by 2009, Holtz-Eakin said it looks possible.
"I think the budget arithmetic is there, but whether it matches the political map is another thing all together," he said.
Holtz-Eakin recommends college students pay attention to what Congress decides to do about financial aid - such as Pell Grants and student loans - in the budget revision.
