Why the Economy Is Not Doing Better than It Is: Republicans
In a word, because of Republicans.
Paul Krugman:
The Jobs Program That Wasn't: Macroeconomic Advisers on the American Jobs Act, proposed a year ago:
We estimate that the American Jobs Act (AJA), if enacted, would give a significant boost to GDP and employment over the near-term.
The various tax cuts aimed at raising workers’ after-tax income and encouraging hiring and investing, combined with the spending increases aimed at maintaining state & local employment and funding infrastructure modernization, would:
- Boost the level of GDP by 1.3% by the end of 2012, and by 0.2% by the end of 2013.
- Raise nonfarm establishment employment by 1.3 million by the end of 2012 and 0.8 million by the end of 2013, relative to the baseline….
[H]aving blocked the president’s economic plans, Republicans can point to weak job growth and claim that the president’s policies have failed.
