By Kasra Kangarloo
WASHINGTON (MNI) – The Obama administration is firmly committed to
a balanced approach to long-term deficit reduction, incorporating both
cuts to federal spending and higher taxes for the wealthiest Americans,
Alan Krueger, the chairman of the president’s Council of Economic
advisors said Thursday.
Speaking during a question and answer session hosted by the
Economics Club, Krueger reiterated President Barack Obama’s position on
the upcoming budget talks, noting that the president’s 2013 budget still
provides a blueprint for his position on taxes and spending.
“I would point people to the president’s budget,” Krueger said in
response to questions about the Obama’s position, repeating the stated
goal of achieving $1.6 trillion in additional tax revenue over ten
years.
Krueger also noted the widely-held position that while long-term
fiscal solvency is important, the short-term focus should remain on
further stimulus spending aimed at job creation.
“The right strategy is to get our fiscal house in order, to make
lasting commitments to show that we can do that and that we’re going to
do that, and that requires additional revenue as well as spending cuts,”
Krueger said. “But we also want to help the economy in the short-run.”
Tax revenue from the wealthiest families could be used to fund
additional spending, something that Krueger said is in line with the
president’s philosophy.
“If you take the revenue raised by allowing the top tax cuts to
expire and use it to hire teachers or support additional infrastructure
investment, that will create additional jobs, I think that is the best
way to support the economy in the short run,” Krueger said.
— Kasra Kangarloo is a reporter for Need to Know News
[TOPICS: MAUDS$,M$U$$$,MC$$$$,MFU$$$,MGU$$$]
