COVID-19 and the U.S. Fiscal Imbalance
Before COVID-19, the U.S. debt burden was large and on an unsustainable path. In a new paper, Cato scholar Jeffrey Miron looks at the fiscal impact of the COVID-19 pandemic, the ensuing recession, and subsequent policy responses. Miron concludes that, in the long run, the pandemic will not dramatically alter the debt burden’s path. So rather than focusing on cutting spending for COVID-19 relief, Congress should focus on curbing the growth in mandatory entitlement spending.
Government in a Pandemic
Americans and their political leaders are understandably worried about COVID-19 and its effects, both on human health and the economy. That worry may lead some people to reflexively demand broad government intervention. But in a new paper, Cato scholar Thomas A. Firey argues that government can respond effectively to the historic COVID-19 crisis while following the principles of limited government.
Pandemics and Policy
The third great crisis of the 21st century has already inflicted a greater toll in lives lost and economic hardship than 9/11 and the 2008 financial collapse combined. And just as the COVID-19 pandemic has upended our daily lives, it has transformed the political landscape, with governments at all levels exercising emergency powers rarely seen outside the context of total war. With so much at risk, what’s needed now is sober, realistic assessment of the choices ahead—a guide to policies that can stem the damage while avoiding permanent transformation of American life and law. The Cato Institute aims to meet that need with its new series, Pandemics and Policy.