Cornell Current Club

View Original

Sequestration: What Will Be Eliminated?

By Kelly McDarbyWith spending cuts beginning, what is on the horizon for the US economy?

This past week, Congress and the President have been working diligently to formulate a budget to account for the $85 billion in automatic spending cuts.  Nevertheless, the week of decision-making and planning was complicated by party-affiliated Congressmen who had differing views on what sequestration, or spending cuts, would entail.

As the week came to a close and March 1st—the day of decisions—arrived, the government was still struggling with negotiations.  Now, the questions remain: what will be eliminated and moreover how will the cuts effect America?

Here is a look into several of the main spending cuts and the supporting and opposing opinions as well as likely outcomes of the cuts:

  1. Defense Spending [13% Reduction]: The Support for these cuts comes from those who believe the military budget is unnecessarily large.  Opposition comes from those who believe that defense cuts would show weakness in the United States’ National Security.
    1. Selective Service: Across party lines, policymakers agree that this system is outdated and no longer a necessity. Reps. Peter DeFazio, D-Ore., and Rep. Mike Coffman, R-Colo., express that the Pentagon’s success with the all-volunteer military force has eliminated a need for conscription.
    2. Military Towns: This would result in significant job loss among military workers as well as civilian residents whose businesses are fueled by military spending.  Concerns are especially prevalent in Colorado Springs, where most of the small business economy is fueled by government expenditures on military products.
    3. Border Security: This would weaken American defense systems and National Security.
    4. Non-Defense Spending: The Support for these cuts comes from political entities that believe that the government is too large and needs to be reduced in size; supporters also believe that this method is the best way to eliminate the $1.3 trillion deficit.  Opposition for these cuts comes from many sources—many of whom believe taxes should be increased rather than spending cuts.
      1. Food inspections: Commissioner of the Food and Drug Administration expresses concern for consumers: “Fewer food safety inspections and an increased risk to consumers will result from the lack of a new 2013 budget.”
      2. Weather Monitoring & Disaster Response: FEMA and Disaster Relief Fund cuts could reduce United States’ disaster preparedness.
      3. Education programs: New York alone will face $43 million in education cuts.  The American Association of School Administrators says, “More directly related to education, sequestration would harm our nation’s global competitiveness and economic future by completely undermining progress on improving student achievement, closing achievement gaps and increasing high school graduation and postsecondary education.” Secretary of Education, Arne Duncan, says that cuts would “put at risk all that we’ve accomplished in education and weaken programs that help children.”
      4. Medical research & Care: Medicare provider incomes will be cut by 2%. Immunization campaigns will be cut across the board.

As sequestration begins, concessions will be made by all parties and compromise will have to occur.  Overall, jobs will be lost and American lifestyles as well as the country’s overall reputation will change.

 Sources:http://money.cnn.com/2013/02/19/news/economy/spendingcuts/index.html?iid=article_sidebar#sthash.r7XoKtTO.dpufhttp://www.huffingtonpost.com/2013/02/25/selective-service-system_n_2758142.html