Good Commentary on the Fiscal Cliff
A while back, I wrote a blog entry, Debt Ceiling - Frustration With Politics, detailing my frustration with the way Democrats and Republicans were approaching the debt ceiling debate. Of course, the solution they reached then was to punt on the problem until the end of the year, which is now fast approaching. Last night on NPR, I heard a commentary from Robert Reich on this issue that made a lot of sense , 'Cliff' fix should include triggers. To quote Reich:
We've got two big economic challenges ahead: getting the economy back on track, and getting the budget deficit under control.The problem is, the two require opposite strategies. We get the economy back on track by boosting demand through low taxes and continued government spending. We get the budget deficit under control by raising taxes and reducing government spending.
He went on to discuss the problems of a large deficit, but also the dangers of austerity and plunging back into another recession. He had a proposed solution, that if not quite realistic, wasn't bad. Go read the article to see what he had to say.
Updated 2012-11-15: Rewrote introductory paragraph.
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