Quote from Yannis:
Here's a thought:
1. Pass the BBA... it's about time we get serious about this, we're headed towards a cliff.
2. We abolish all welfare and unemployment benefits except for extreme cases. In itheir place, the government will give you a job, even a fake one, if you cannot fend for yourself. Better yet, the government will subsidize your salary, at one of many firms that agree to participate, for a while until you get back on your feet.
3. Major entitlements get restructured gradually so that they can survive:
a) Social Security goes private but under government supervision - you get out what you put in plus interest/gains etc a la 401K model.
b) Medicare goes the same route.
c) Medicaid falls under 2. above.
3. We do some serious economic research to determine the optimum (from a total economy perspective) overall taxation level. Make sure loopholes are closed and marginal rates are as low as possible. Consider our nation's competitiveness when it comes to corporate rates, most other countries have lower ones. Everybody pays some income tax, no free-loaders except extreme cases. There will be some serious discussion about this and then Congress pulls the plug and implements a reasonable compromize.
I like many of the suggestions above wrt giving proper "incentives" to Congress to get off its butt and pass this. Seriously.
While you're at it, abolish all race/gender preferential schemes (AA, etc) as they are divisive and trap people into believing that the reason they are not doing well is that someone else hates them.