Study: Clinton's proposals would not significantly increase national debt

Study: Clinton's proposals would not significantly increase national debt

Campaign proposals from Democratic presidential candidate Hillary ClintonHillary Diane Rodham ClintonRussian interference reports rock Capitol Hill Judge dismisses Nunes' lawsuit against Fusion GPS The Hill's Campaign Report: What to watch for in Nevada MORE would not significantly increase the debt levels projected under current law, the Committee for a Responsible Federal Budget (CRFB) said in a report Monday.

The former secretary of State’s proposals would cost $1.8 trillion over 10 years with interest and would be almost completely paid for by $1.6 trillion of offsets. The $200 billion gap may be more than fully covered by a corporate tax reform plan whose specifics have yet to be released, the CRFB said.

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Clinton’s spending proposals include her plans for debt-free college, expanding ObamaCare and increasing infrastructure spending. Her spending initiatives would largely be offset by tax increases on the wealthy.

The group was encouraged by the fact Clinton proposed specific offsets for her spending proposals.

“Paying for new initiatives is an important and necessary step to ensuring the nation’s fiscal health does not further deteriorate,” it said.

While Clinton would not substantially increase the debt over 10 years, she also would “keep debt at post-war record-high and rapidly growing levels,” the group noted.

The Congressional Budget Office estimates that publicly held debt will increase from 74 percent of gross domestic product (GDP) last year to 86 percent of GDP by 2026, and the CRFB said that would remain the case if Clinton’s proposals were enacted.

If Clinton were to provide full sequester relief for discretionary programs without offsets, debt would increase to 90 percent of GDP, the group said.

The candidate would have to propose additional tax increases and/or spending cuts to pay for rolling back sequestration and reducing the debt, which could be difficult given her pledge to not raise taxes on those making less than $250,000, the CRFB said.

“Even so, given that her proposals are largely paid for, it remains possible for Secretary Clinton to offer a viable deficit reduction plan, and we encourage her to do so,” the group said.

Unlike Clinton’s proposals, the proposals of fellow Democratic candidate Bernie SandersBernie SandersRussian interference reports rock Capitol Hill The Democratic nominee won't be democratically chosen Fox's Ingraham mocks DNC over Nevada voting malfunctions: 'Are we a Third World country?' MORE and Republican presidential candidates Donald TrumpDonald John TrumpWhere do we go from here? Conservation can show the way Gov. Ron DeSantis more popular in Florida than Trump Sotomayor accuses Supreme Court of bias in favor of Trump administration MORE and Ted CruzRafael (Ted) Edward CruzPompeo to speak to influential conservative group in Iowa Top National Security Council aide moved to Energy Department role Ted Cruz takes aim at Alabama vasectomy bill: 'Yikes' MORE would add trillions of dollars to the debt, the CRFB has found.

Over a decade, Sanders’s plans would increase the debt by $2 trillion to $15 trillion, Trump’s plans would raise the debt by $12 trillion to $15 trillion and Cruz’s plans would raise the debt by $12.5 trillion, the group estimates.