Tuesday, January 27, 2009
Cato Institute mounts full frontal attack against the stimulus
We may not get it!
“Notwithstanding reports that all economists are now Keynesians and that we all support a big increase in the burden of government, we do not believe that more government spending is a way to improve economic performance. More government spending by Hoover and Roosevelt did not pull the United States economy out of the Great Depression in the 1930s. More government spending did not solve Japan’s “lost decade” in the 1990s. As such, it is a triumph of hope over experience to believe that more government spending will help the U.S. today. To improve the economy, policy makers should focus on reforms that remove impediments to work, saving, investment and production. Lower tax rates and a reduction in the burden of government are the best ways of using fiscal policy to boost growth. Below you’ll find some recent Cato work on “stimulus” packages.”
Check it out at the link here.
They are extremely well organized and funded. Plus, opposition by Republicans in Congress mounting. And, inexplicably, Obama feels like he has to form a bipartisan consensus on this, despite getting nearly 64 million votes, a mandate, Democratic control of Congress and zero need to appease Republicans.
All we need now is another terror attack on U.S. soil and the folks who voted for Obama will be begging to have Bush back!