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Spending Versus Tax Cuts: Who Pays the Cost of Political Compromise?

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  • Dean Baker

Abstract

President 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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File URL: http://www.cepr.net/documents/publications/2009-01-Spending-Vs-Tax-Cuts.pdf
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Bibliographic Info

Paper provided by Center for Economic and Policy Research (CEPR) in its series CEPR Reports and Issue Briefs with number 2009-01.

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Length: 3 pages
Date of creation: Jan 2009
Date of revision:
Handle: RePEc:epo:papers:2009-01

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Keywords: economic crisis; economic stimulus; fiscal stimulus;

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