Morning Must Reads: Harm

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  • Washington’s debt ceiling hysterics have gotten the public’s attention; 82% now say failing to raise would cause economic harm.
  • Steve Gandel extrapolates from the Congressional Budget Office’s numbers on what sweeping deficit reduction could do to growth:

[CBO's] Elmendorf estimates that the deal would likely slow the economy by as much as 0.6% in each of the next three years. Again, there is no science to translating GDP growth into jobs. But 0.1% of GDP growth usually translates into the economy adding around 5,000 jobs, and visa versa. So that means a debt ceiling deal of the size Elmendorf is talking about could cost the economy as much as just over a million jobs during the next three years.