The Deficit: No Gains, So Pains

No Gains, So Pains

George Bush has decided that, for a while at least, he can live without a capital-gains tax cut. After failing to force the Senate to include such a reduction in next year's budget bill, Bush abandoned the idea last week. The President's backdown could provide the basis for a compromise that would undo $16 billion in across-the-board spending cutbacks that went into effect last month. If no agreement can be reached, $8.1 billion will be slashed from popular programs such as Medicare and college loans.

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