Spending Versus Tax Cuts: Who Pays the Cost of Political Compromise?
AbstractPresident Obama and the Democratic leadership will undoubtedly have to make some political compromises in order to get a stimulus package through Congress. However, it is important to keep in mind that there will be real costs associated with these compromises insofar as they result in a less effective stimulus package. A less effective package will mean less economic growth, which will, in turn, mean that fewer people will have jobs.
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Bibliographic InfoPaper provided by Center for Economic and Policy Research (CEPR) in its series CEPR Reports and Issue Briefs with number 2009-01.
Length: 3 pages
Date of creation: Jan 2009
Date of revision:
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economic crisis; economic stimulus; fiscal stimulus;
Find related papers by JEL classification:
- H - Public Economics
- H5 - Public Economics - - National Government Expenditures and Related Policies
- H6 - Public Economics - - National Budget, Deficit, and Debt
- H2 - Public Economics - - Taxation, Subsidies, and Revenue
- E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-01-17 (All new papers)
- NEP-PKE-2009-01-17 (Post Keynesian Economics)
- NEP-POL-2009-01-17 (Positive Political Economics)
- NEP-PUB-2009-01-17 (Public Finance)
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