House Speaker John Boehner (R-OH) today released a statement signed by more than 150 economists backing his call for spending cuts that exceed any increase in the debt limit. The statement is signed by some of our country’s best economic minds, including two Nobel Prize winners (Robert Mundell, Vernon Smith); economists from schools such as Stanford (Michael Boskin, John F. Cogan, Eric A. Hanushek, David R. Henderson, James C. Miller III, John B. Taylor) and Carnegie-Mellon (Robert Dammon, Marvin Goodfriend, Allan Meltzer); a former U.S. Secretary of State (George P. Shultz); and two former directors of the Congressional Budget Office (Douglas Holtz-Eakin, June O’Neill). Boehner made the following comment:
“More than 150 economists have a simple message for Washington: to help our economy grow and create jobs, any debt limit increase needs to be met with even larger spending cuts. Increasing the debt ceiling without significant spending cuts and budget reforms will send a message to American job creators that we still are not serious about ending Washington’s spending addiction, and this will bring further harm to private-sector job growth in America. We need to enact reforms that will help our economy grow while stopping Washington from spending money it doesn’t have.”
Here is a link to a PDF listing the signatories and below is the text of the economists’ statement:
A DEBT LIMIT INCREASE WITHOUT SIGNIFICANT SPENDING CUTS & BUDGET REFORMS WILL DESTROY AMERICAN JOBS
An increase in the national debt limit that is not accompanied by significant spending cuts and budget reforms to address our government’s spending addiction will harm private-sector job creation in America. It is critical that any debt limit legislation enacted by Congress include spending cuts and reforms that are greater than the accompanying increase in debt authority being granted to the president. We will not succeed in balancing the federal budget and overcoming the challenges of our debt until we succeed in committing ourselves to government policies that allow our economy to grow. An increase in the national debt limit that is not accompanied by significant spending cuts and budget reforms would harm private-sector job growth and represent a tremendous setback in the effort to deal with our national debt.
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