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Less spending, more jobs

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'American Coyotes' Series

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Letter to the Editor
Monday, Dec. 3, 2012, 12:01 a.m.
 

Both Kathleen Bollinger's letter that “it takes private sector jobs, not public sector spending to fix the economy,” and George Wesolosky's letter that “wealthy creators, American small businesses” need government support to stimulate the economy, can be better appreciated when you understand President Obama's economic policies.

He basically follows the Keynesian economic beliefs that a government can spend its way out of a recession. This prolonged recession — the four-year, 8 percent unemployment, the doubling of gas prices and the drop of middle class income — has again proved that this “print more money” approach does not work.

Neither will the simplistic belief that raising tax rates will automatically increase tax revenues to the government. Further increases from our present tax rates will only further slow our already weak economy. Job producers will be less likely to expand and hire under the burden of higher tax rates and more regulations. Fewer workers and less expansion will produce less, not more, tax revenues to our government.

Only the cutting of government spending and the removing of unnecessary regulations and taxes on job producers will help balance the federal budget and avoid a greater recession.

Ron Raymond

Buffalo Township

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