If deficit reduction is the answer, then you are asking the wrong question

David Frum, not a gold fan, writes a confessional in the Daily Beast on why he is not a deficit hawk.

Governments worldwide are running huge deficits; therefore, making deep cuts in spending now is the answer to getting governments back to long-term economic health.

But why, Frum asks, does the world keep buying U.S. Treasuries at such low interest rates? The markets must have some rosier outlook on the United States long-term ability to manage its deficits.

Moreover, singling out the need to address the deficit problem is not the root of the problem:

More seriously, the talk of "debt crisis" points us to the wrong question. And as I remember from my days grading university exam papers, it's almost impossible to get the answer right if you get the question wrong.

The United States does not have a "deficit problem." It has an immediate economic underperformance problem (which depresses revenues) and it has a chronic healthcare overpayment problem (healthcare is the most important driver—at this point you could fairly say the only driver—of U.S. federal spending).

Address those two concerns, and you are well on your way to a solution.

Read more here.