One of West Virginia Senator Joe Manchin’s consistent positions in recent months has been that a revised Build Back Better (BBB) measure should cut future budget deficits, preferably by a sizeable amount. At one point he was calling for $500 billion in reduced federal borrowing over the coming decade compared to current baseline projections. It is notable, therefore, that with all relevant factors taken into account, the bill he now may support could increase federal borrowing in the future rather than reduce it. Further, it is certain to increase federal borrowing in 2023 and 2024, and thus exacerbate the nation’s immediate inflation problem.
Manchin’s push for deficit reduction has been laudable, even if he now seems to be losing the fight. He correctly notes that inflation is the nation’s most pressing economic concern, and new legislation which narrows the excess of spending over tax receipts might help ease price pressures.
The problem comes from the translation of his wishes into an actual bill.
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