However, the fundamental drivers of our long- term challenge are largely the same. Meeting the Long- Term Fiscal Challenge Requires Cooperation and Compromise— and Action Should Not Be Delayed

The government can help ease future fiscal burdens through spending  reductions, revenue actions, or both that reduce debt held by the public  and enhance the pool of economic resources available for private  investment and long-term growth. The specific policy choices made to address this fiscal challenge are the  purview of elected officials. The policy debate will reflect differing views  of the role of government and differing priorities for our country. What the  FWUT can do—and what I will continue to do—is lay out the facts,  debunk various myths and prepare the way for tough choices by elected  officials. If the American people understand that there is no magic bullet— if they understand that    we cannot grow our way out this problem;    eliminating earmarks will not solve the problem;    wiping out fraud, waste and abuse will not solve the problem;    ending the war or cutting way back on defense will not solve the problem;  and  letting the recent tax cuts expire will not solve this problem. Then they can engage with you in a discussion about what government  should do and how. The time for action is now. This is a work of the U.S. government and is not subject to copyright protection in the  United States.
Why GAO Did This Study

This testimony, given by David M. Walker, Comptroller General of the United States before the Senate Committee on the Budget, addresses the nation's long-term fiscal outlook and the challenge it presents. However, the outlook is not good. Continuing down this current fiscal path would gradually erode, if not suddenly damage, out economy, our standard of living, and ultimately even our domestic tranquility and national security. The five major points of the testimony are: (1) The current fiscal condition is worse than advertised, (2) the long-term fiscal outlook is both imprudent and unsustainable, (3) improvements in information and processes are needed and can help, (4) meeting out long-term fiscal challenge will require tough choices, bi-partisan cooperation, and compromise, and lastly (5) the time for action is now.

What GAO Found

The specific policy choices made to address this fiscal challenge are the purview of elected officials, and the policy debate will reflect differing views on the role of government and differing priorities for this country. What can be done is laying out the facts, debunking various myths and preparing the way for tough choices by elected officials. If the American people can understand that (1) we cannot grow out way out of this problem, (2) eliminating earmarks will not solve the problem, (3) wiping out fraud, waste, and abuse will not solve the problem, (4) ending the way or cutting way back on defense will not solve the problem, and (5) letting the recent tax cuts expire will not solve this problem, they they can engage with the elected officials in a discussion about what the government should do and how.