Reich, David Walker Discuss President's Fiscal Failure

David Walker, former U.S. comptroller, calls out the president for failing to lead on the need for budget cuts. Even Robert Reich admits that Medicare costs must be dealt with, but Reich says it shouldn't be done now because budget cuts now will hurt the little guy.

Walker writes/talks extensively on the need to confront entitlements.

The president is correct — we do need comprehensive tax reform, including corporate taxes. Yes, we need to re-organize government to bring it into the 21st century. At the same time, the federal government also needs to reduce non-investment related spending and reform social insurance programs.

More important, it’s time to go back to the future and re-impose tough statutory budget controls.

These statutory budget controls must be tougher than the ones that helped restore fiscal sanity in the 1990s. They should include Pay-Go rules that do not include trillions of dollars in loopholes; tough but realistic total discretionary spending caps, and specific annual public debt/gross domestic product targets that would be effective in 2013 or 2014.