related to this topic is the expected fiscal effect from tax reductions and increases
I recommend: http://www.heritage.org/Research/Taxes/loader.cfm? url=/commonspot/security/getfile.cfm&PageID=5369 (make sure it all fits into one line) - jacob braestrup > > > Armchairs, > > As the US recession looms larger and longer, Bush and his folk are found in > the uneasy position of trying some active fiscal policies... > > In a very simplistic macro view, raising public expenditures or lowering > taxes (in the short run) were both considered "expansionist" fiscal > policies--at least in the sense that both increase public sector deficits... > they are equivalent policies. > > However, in real world policymaking, republicans prefer lower taxes and > democrats would rather have more expenditures... as if they were different > policies. > > Does this partisan/ideological asymmetry have any real effect? Is the > equivalence for real... in the short run... in the long run? Do people > perceive them as different too? > > More practically, what is easier to get, lower taxes or higher expenditures? > Does this apply to the federal as well to the state level? > > any reactions? > > -JA > > -- NeoMail - Webmail
