When the facts change, I change my mind. What do you do? -- John Maynard Keynes

Thursday, February 23, 2012

Romney's right: Spending cuts, without pro-growth tax policies, will slow down the economy

Some so-called "conservative" pundits think Romney misspoke--

First Read - Romney: Spending cuts slow economic growth: ". . . Speaking in Shelby Township, MI, the former Massachusetts governor took a question about the Simpson-Bowles fiscal commission empaneled by President Obama to address the nation's deficit and debt issues. In his response, he said that addressing taxes and spending issues are essential. "If you just cut, if all you're thinking about doing is cutting spending, as you cut spending you'll slow down the economy," he said in part of his response. "So you have to, at the same time, create pro-growth tax policies.""

Mitt's right, and just about any economist worth his or her salt would agree--even Nobel economist Paul Krugman agrees (at least with the first part): "slashing spending in a depressed economy depresses the economy even more,"--just look at what "austerity" has done to Europe

The Big Picture

Financial Crisis - The Telegraph

JohnTheCrowd.com | The Sailing Website

Craig Newmark - craigconnects