In June, President Bush signed into law a 10-year tax cut that he hailed as “the first major achievement of a new era.”

Now, two months later, even Republicans are worrying out loud that the loss of revenues may prevent the administration from accomplishing its other goals, such as modernizing the military and improving schools.

And critics of the administration, including Democrats, argue that Bush’s tax cut is squandering the current surplus, threatening social programs, and even putting Medicare and Social Security revenues at risk.

As tax rebate checks continue to make their way into Americans’ mailboxes, and as the Bush Social Security Commission meets again this Wednesday, the national debate on our budget future is intensifying.

• Rep. Richard A. Gephardt, (D-MO), said last week that the Bush tax cut “has put him on a path headed straight for the Medicare and Social Security surpluses.”
  
  
• The White House predicts this week that economic growth will rebound to 3.2 percent next year from a projected 1.7 percent this year. Democrats attack the prediction as overly optimistic and politically self-serving.
  
  
• The Heritage Foundation is releasing a report this week that argues that women and minorities will benefit from privatization of Social Security, while other analysts and scholars sharply disagree.
  
  
• Thousands of Americans have pledged to return their tax rebate to the national treasury, or donate the money to nonprofit organizations.

Are we headed for another era of debts and deficits?