Balanced Budget Amendment passes in the '90s

When the Republicans took Congress in 1994, one of the goals they stated was a balanced budget amendment which never came into fruition.

What if it did? Would all of America's financial problems by OTL 2011 be gone?
 

abc123

Banned
When the Republicans took Congress in 1994, one of the goals they stated was a balanced budget amendment which never came into fruition.

What if it did? Would all of America's financial problems by OTL 2011 be gone?


Well, if USA can live with much smaller budget than OTL, then yes.
;)
 

archaeogeek

Banned
Most likely not as there would have been enough loopholes to pass a carrier. Plus it makes it impossible to do emergency spending without raising taxes now, immediately. Expect a massive "emergency" budget instead.
 
When the Republicans took Congress in 1994, one of the goals they stated was a balanced budget amendment which never came into fruition.

What if it did? Would all of America's financial problems by OTL 2011 be gone?

No. The BBA included an exception for when the US is at war or "for any fiscal year in which the United States faces an imminent and serious military threat to national security." It didn't take effect until 2002, and by then we were at war and it no longer applies.
 
No. The BBA included an exception for when the US is at war or "for any fiscal year in which the United States faces an imminent and serious military threat to national security." It didn't take effect until 2002, and by then we were at war and it no longer applies.
Well, the US did get out of its surplus in 2001. The Bush tax cuts would likely be smaller, unless matched by cuts in spending.
 
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