Thursday, December 9, 2010

Meet Simon Johnson Tax Cut Hater

MIT-based economist and Elizabeth Warren operative, Simon Johnson, has come out against the tax cut. He writes:
The president and congressional Republicans have reached a deal that would cut taxes “for all Americans.” Their argument is that this package will stimulate the economy, create jobs and help lead to economic recovery and sustained growth.
This proposal, which seems likely to pass Congress, is not a good idea. Why?...our “fiscal space” is limited – we cannot afford to blithely increase our national debt. It can be done – and should be done given the parlous state of our economy and our disastrously high unemployment levels.
Very true. There is limited "fiscal space", but the solution for this is to roll back the size of government, not reduce tax cuts.

1 comment:

  1. Would recommend reading his book "13 Bankers"? Liberal friends of mine have recommended it. Seems to me that there is common ground between libertarians/leftists on the Wall St./FED control of the money supply. Thoughts?