Make Me Smart The current reconciliation bill will raise the deficit. Could it pass anyway?
Jun 20, 2025
This week’s discussion dives into the complexities of a budget reconciliation bill and its potential impact on the national deficit. The hosts tackle student debt, taxes, health care, and implications for social programs. They also debate the contentious AI regulation and its clash with states' rights. Special segments include a fun budget-themed game and insights into the effects on philanthropy. Listeners are encouraged to join the conversation, highlighting the blend of serious analysis with light-hearted commentary.
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AI Regulation Ban Controversy
- The reconciliation bill includes a 10-year ban on states regulating AI, which some see as a way to prevent a patchwork of laws.
- Opponents argue it infringes on states' rights and may not pass Senate rules due to budget impact requirements.
Reconciliation Bills and Deficits
- Budget reconciliation bills were originally intended to be budget neutral but have evolved to sometimes increase the deficit.
- Since 2000, most reconciliation bills have increased projected deficits, reflecting changing political priorities.
Baseline Choice Alters Bill Cost
- The baseline used by Congressional Budget Office (CBO) to score bills affects cost projections greatly.
- Using a current policy baseline instead of current law baseline can make extending tax cuts appear much cheaper on paper.