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CNNW Your Money July 30, 2011



the most recent cnn o.r.c. polling says 51% of americans would hold republicans responsible if the debt ceiling is not raised. just 30% would find president obama more responsible. peter moresi joins us. i have to ask you this, you are an economist, you re a well-respected economist and we have spoken together for years. do you have any evidence of what so many conservatives are saying that if we were to increase taxes at all, at all at this point in an economic cycle, that it would actually hurt our economic recovery? well, increasing taxes wouldn t hurt anymore than, say, cutting spending. both would decrease the amount of demand in the economy. to say taxes would hurt the economy is kind of code for, cutting spending is okay, but taxes are not. that s simply not true. in fact, raising taxes may be less deleterious than cutting spending. economic theory says so. did anything that happened yesterday, friday, have any effect on you when you looked at those gdp numbe ....

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