The Budget Control Act of 2011 (Economic Issues, Problems and Perspectives)

The Budget Control Act (BCA) is the result of negotiations between the President and Congress held in response to the federal government having nearly reached its borrowing capacity. The BCA authorised increases in the debt limit of at least $2.1 trillion dollars (and up to $2.4 trillion under certain conditions), subject to a disapproval process that would likely require securing the support of two-thirds of each chamber to prevent a debt limit increase. It established caps on the amount of money that could be spent through the annual appropriations process for the next 10 years, which the CBO estimates will reduce federal spending by $917 billion. This book provides an overview of the essential features of the Budget Control Act, a history and recent increases of the debt limit and the potential effects on government operations.