Legal Commentary

The Key To Job Growth Is Increased Spending

By Big Tent Democrat

Ben Nelson:

Sen. Ben Nelson (D-Neb.) has raised the concern that a shortage in customer demand could render the tax break useless. “There’s a question of whether that puts the cart before the horse,” said Nelson. “If I don’t have enough customers for my product, hiring more people is not going to help and tax credits are not going to be to my advantage.”

True enough Senator Nelson. That is a very compelling reason to shelve the tax cut formula and to increase government spending targetted to increasing aggregate demand. This is why the mindless Republican/Blue Dog approach to stimulus and job creation should be a nonstarter. It is also an explanation of what was flawed in the stimulus bill last year - too much non-stimulative tax cuts, not enough stimulative government spending.

Speaking for me only

Full post as published by TalkLeft on February 17, 2010 (boomark / email).