Enough With the Economic Stimulus
Here is a letter to the St. Petersburg Times:
The case for “a massive stimulus” is extremely flawed (Think big on economy, August 11). We’ve tried this same approach in perpetuity, hoping for different results. The rationale put forth echoes assertions like, ‘the other stimulus wasn’t large enough.’ It didn’t work for Herbert Hoover or FDR, nor has it worked for George W. Bush and President Obama.
Recklessly printing money coupled with “serious tax hikes” will not increase economic output, or create jobs. Accelerating the rate of growth of inflation is the only outcome of major stimulus.
The mechanism for creating jobs and increasing economic growth is to provide a level playing field, with certainty in the marketplace. If the federal government truly desires to tackle our economic woes, it can start by eliminating the income tax on individuals and corporations, and replacing it with a consumption tax.
This simple measure will instantaneously create jobs and increase the rate of growth of investment and savings without eliminating the social safety net for those truly in need.
Craig D. Schlesinger