You're watching...
Former Federal Reserve Vice Chairman Alice Rivlin on efforts to rein in the government’s spending.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
Everything this president doing now have not one thing to do with policy or -- else.
It -- has to do with politics.
Having -- back -- -- they're gonna do everything possible to get reelected and that means everything.
Alan Simpson -- everybody -- -- that is recommendations of those and Erskine Bowles and arrested him isn't being ignored and are being ignored.
More productive as a member Clinton budget director of services that are -- goes on and on talk about an impressive when Alice Rivlin.
We'll see voting in favor those recommendations and the like Simpson recommends that congress both parties -- the nonsense and the -- -- Now doctor -- good to have you back.
And that's a thing being here -- on obviously.
Senator Simpson in his inimitable way doctor was saying.
He's frustrated he's angry at Jerry -- they near congressman had been on would be earlier sank.
That -- even the debt commission's very recommendations.
Shouldn't become part of the presidential debates because you know they buy cheap in the process and and and that infuriated Simpson all the more what what's your take animals.
Well the record of facing up to our long run deficits is abysmal.
We haven't done the main thing driving our deficits going forward.
Is retirement of the baby boom generation and the cost of their health care.
And we've not about them for years and years decades and we haven't done anything about it.
So I share the frustration.
Of -- senator Simpson.
That the pollen in the political process is not facing up its Republicans and Democrats it's.
-- airline -- ones are they telling us.
So you're quite right and over the years I've known you agree or disagree you have been warning about entitlements -- -- been.
Focused on them when nobody was a very long before that guy Ross Perot was and yet it's ignored and and I'm wondering what do you.
Think it will take.
To get this well dressed.
I think we're about to find out -- because of the congress.
Put it self in a box.
If enacted.
Day the short of the tax cuts.
To end though -- -- them.
To expire at the end of this year all of the the bush and Obama tax cuts.
Of expire at the end of this year.
And we have this a weird thing called the -- Questar.
Which means that we will have automatic cuts in defense and domestic spending very large ones and irrational ones.
So when that hits us at the end of the year.
According to my old friends at the Congressional Budget Office we are risking a double dip recession and I think that's right so.
That it actually gonna let that I have reason that we let that happen I don't let that happen now I thought I talk to let -- -- talked to a prominent.
Congressman on this very issue a doctor.
Who said his best bet my giveaways -- but is best -- was that he states will be a sort of a ninety day extension.
Of all of the above and then they're gonna hammered out whether with a new president or the -- elected ones.
After that do you think that's the likely scenario -- that's kicking the can.
I think I think that's -- they.
One of the likely scenarios they're gonna have to do some combination.
Of kicking it down the road because they won't have time to do all the things they need to do before.
And the the end of the year some combination of kicking it down the road and putting a framework.
For getting a solution in place.
But I tell -- the -- where I don't have to concern over tight on time but I know your -- division number.
Paul Ryan did not vote for the this front of these final recommendations.
And now he's you know vice president -- candidate.
Added he'll do if he got elected and as a vice president and as an influence in a potential Romney went.
Well I don't know and I doubt he knows.
CEO -- Democrat and I hope that we don't find out -- I think.
Paul Ryan is Smart.
And understands.
Budget very well he is a committed conservative he believes in small government.
And he believes in cutting -- drastically.
Programs for low income people.
And all of those things like student aid and and things that the president and I think are quite necessary to improve our economy.
But.
Is the best thing that I think could happen would be a reelected Obama.
And Paul Ryan back as chairman of the -- -- -- negotiation.
Between them are.
-- now finally got a surprise and I was just aren't.
Now -- Smart men -- both understand the problem well.
And I don't know where it -- yeah probably has to have a couple I don't doubt they understand the -- it is students went about it.
But Alice Rivlin on Lester right use your class act and it's always -- -- -- palace from.
-- -- --
