Nearly two weeks after the House passed a bipartisan bill to stop all of President Obama’s tax hikes, Senate Democrats still haven’t taken action to protect middle class families and small businesses – and top economists fear their inaction is already hurting private-sector job growth.
A survey of economists by Market Watch “finds the threat of higher taxes” is contributing to weak job growth. “Nearly nine in 10 economists questioned expect worries about a so-called fiscal cliff to cause businesses to reduce investment in the remaining months of 2012,” and “[h]iring is also likely to remain lackluster, keeping the nation’s unemployment rate above 8%” – where it’s been for 42 months.
Independent accounting firm Ernst & Young found that the small business tax hike demanded by President Obama would destroy more than 700,000 jobs. USA Today reports that economists believe the threat alone of such a tax hike is “already hindering growth.”
The House not only voted to stop all of the tax hikes – Republicans also passed legislation to replace the ‘sequester’ defense cuts insisted on by President Obama with common-sense savings and reforms. Republican leaders said if Senate Democrats follow suit, the House will reconvene during August to work together for the purpose of sending these solutions to the White House. Read more here, and visit jobs.GOP.gov for more information on the Republican Plan for America’s Job Creators.