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

Monday, December 31, 2012

Howard Dean may be right: Let’s Go Over the Fiscal Cliff--Whee!

I was hoping for comprehensive tax reform and entitlement reform to "fix" the USA but it's not going to happen in dysfunctional Washington. But instead of some kind of bastardized last-minute deal, the best thing may be to do what Howard Dean suggested weeks ago--Let's Go Over the Fiscal Cliff!

Howard Dean: Let’s Go Over the Fiscal Cliff: "“We will get a lot more deficit reduction if we do the fiscal cliff,” the former Vermont governor said on MSNBC’s Morning Joe. “I actually think the markets will reward the fiscal cliff over a period. “There will be some panic and some moaning and groaning, but the fiscal cliff is not a real cliff, it’s a slope, and you are going to get the biggest bang for the buck in terms of deficit reduction.” Dean (Democrat), who ran for the White House in 2004, said the economy will be able to withstand the effects of the cliff. “Yes we will go into two quarters of recession,” he said. “But we are in deep trouble here, somebody’s going to have to pay the bill and it is going to have to be all of us and you get a much better tax bang if you go back to Bill Clinton’s tax rates.”"

Sounds like Howard may be right--more deficit reduction and more revenues--isn't that what Republicans and Democrats wanted all along?


The Big Picture

Financial Crisis - The Telegraph

JohnTheCrowd.com | The Sailing Website

Craig Newmark - craigconnects