EconoMeter: Cut the deficit now -- or not so fast -- economists say
Taxes, entitlements and spending all should be on the table
Roger Showley, SAN DIEGO UNION-TRIBUNE
Saturday, October 30, 2010
A: Kelly Cunningham, National University System
Regulatory uncertainty is hampering business willingness to invest and forces companies to hoard rather than reinvest or spend capital. Why, for example, would a small business hire more workers not knowing what new regulations on health care make it liable for insurance premiums or fines? Fiscal policy is even more uncertain with no credible plan to rein in the deficit. Why should entrepreneurs plow money into new production not knowing what tax rates will eventually be imposed? Foster economic growth through reducing uncertainty and increasing confidence with sustainable, pro-growth incentives cutting both taxes and spending.