Obama debt commission: It's almost a wrap

By Jeanne Sahadi, senior writer


NEW YORK (CNNMoney.com) -- After working for eight months, the 18 members of President Obama's bipartisan deficit commission will finish their deliberations this week over how to reduce the nation's long-term debt.

Expectations are low that the panel, which holds its final public meetings on Tuesday and Wednesday, will get the 14 votes required to make official recommendations to Congress.

But even if the panel doesn't produce a unified report, the group's efforts may not have been in vain.

That's because the commission's co-chairmen, Erskine Bowles and Alan Simpson, have already gotten the national conversation started. Nearly three weeks ago, they unexpectedly released proposals that offer a framework for the debate over how to reduce the debt.

Meanwhile, other credible reports have echoed the major takeaway from the Bowles-Simpson plan: The growth in debt can't be curbed by half-measures or by exempting wholesale either spending cuts or tax increases.

Moreover, Bowles-Simpson will be a benchmark against which Obama's 2012 budget -- due out in February -- can be measured.

That's because Obama has promised to offer serious deficit-reduction proposals next year.

"When I start presenting some very difficult choices to the country, I hope some of these folks who are hollering about deficits and debt step up, because I'm calling their bluff," the president said at a press conference during the G-20 summit in June.

The Bowles-Simpson plan is a tall order to match. It aims to reduce deficits over the next decade by $4 trillion, three-quarters of which would come from spending cuts and the rest from increasing tax revenue. If interest payments are excluded, the split is 70-30 between spending and taxes. As the co-chairmen promised for months, they hit all parts of the federal budget. (Video: 'Headed for disaster')

While the president encouraged them to consider everything on the table when he established the debt commission last February, the proof will be in his 2012 budget whether he's willing to do the same. To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 17,810.06 91.06 0.51%
Nasdaq 4,712.97 11.10 0.24%
S&P 500 2,063.50 10.75 0.52%
Treasuries 2.32 -0.02 -0.86%
Data as of 12:03am ET
Company Price Change % Change
Bank of America Corp... 17.12 0.12 0.71%
Kinder Morgan Inc 39.75 -0.17 -0.43%
Apple Inc 116.47 0.16 0.14%
Intel Corp 35.59 -0.36 -1.00%
Microsoft Corp 47.98 -0.72 -1.48%
Data as of Nov 21

Sections

This arrangement, announced Friday, illustrates how the lines have blurred between traditional TV networks and newfangled options like Netflix. More

The Obama administration is touting that its immigration action will boost wages. But the hike amounts to only $170 a year by 2024. More

Obama doesn't have the authority to create a startup visa, but part of his reform announcement could include a workaround for entrepreneurs: 'parole status.' More

Nearly half of all Americans say there's a chance they'll have to work during a holiday between Thanksgiving and New Year's, according to a new poll. And one in four say they'll have to work whether they want to or not. More

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer.

Morningstar: © 2014 Morningstar, Inc. All Rights Reserved.

Factset: FactSet Research Systems Inc. 2014. All rights reserved.

Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved.

Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor’s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2014 and/or its affiliates.