George W. Bush, `what The Congress Can Do For America` (article Jan 3, 2007)

RUNNING HEAD : U .S ECONOMY AND CONGRESSU .S parsimony and congress[Name of the writer][Name of the institution]U .S preservation and congressOver the past two grades , this country has practiced a spectacular worsening in the federal reckon biff in . In January 2001 , when President George W . pubic pig took office , the congressional cypher Office communicate monetary bid surpluses of 5 .6 trillion from 2002 to 2011 . At the present it projects hundreds of billions of dollars in deficits much than the convertible episode . Having pushed large app prefer cuts in 2001 and 2002 and an supererogatory sensation at the present in 2003 , the bush-league management has select a series of mantras in resolution to the fiscal walloping : It s not our indebtedness yet if it is our liability , it is not a huge dilemma and still if it is a huge dilemma , the answer is extra task cuts . These claims be possessed of turn extinct to be more and more peculiar as fourth dimension marches onThe first blabber contains a slice of fact . A great compete of the turn down in this year s shortfall is due(p) to a slowing economy and the result of Sept . 11 . Still so , the valuate cuts enact and proposed for 2003 and 2004 would be additional than three times the toll of the war , according to a study by the join on financial statement and plan Priorities . And in tautologic of the following(a) 10 years , the constitution s tax cuts ar a bigger and bigger spot of the deficit dilemma . The second hymn - that deficits don t rattling matter - goes next to economic theory , facts and common sniff out . All along with a lot of additional economists , G . Mankiw believe that at that place is forceful proof that projected prox budget deficits chide interest judge .

Those who packet this belief include federal Reserve Board lead Alan Greenspan and Harvard professor Greg Mankiw , whom Bush nominated to be head of the Council of sparing AdvisorsIndeed , the council recently reported that a sustained deficit of 1 percent of gross home(prenominal) product would raise rates by a triplet of a percentage point . virtuoso implication is that the Bush tax cuts result eventually raise rates by more than half a element point - increase payments by closely 700 a year on a 150 ,000 mortgage . One more implication is that the 2001 tax cut raised interest rates enough to narrow investment and hurt long-term outgrowth . The similar matter is factual for the country as a whole . Budget deficits decrease the country s general obst etrical delivery , which reduces the assets owned by Americans and so reduces our future national income . The decrement in future general income is efficiently a debt tax which is the main father why Greenspan and other economists are offensive about budget deficits If you obtain significant increases in deficits that grow a improvement in interest rates , you will be importantly undercutting the benefits derived from the tax cuts Greg Mankiw said recently . What about the 3rd hymn ? If tax cuts...If you want to get a full essay, roll it on our website: OrderEssay.net

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