GOP spending plan would cost 700,000 jobs, new report says:
“A Republican plan to sharply cut federal spending this year would destroy 700,000 jobs through 2012, according to an independent economic analysis set for release Monday…
[This] report comes on the heels of a similar analysis last week by the investment bank Goldman Sachs, which predicted that the Republican spending cuts would cause even greater damage to the economy, slowing growth by as much as 2 percentage points in the second and third quarters of this year.”
(Via Grasping Reality with a Sharp Beak.)
Predictably, the GOP goes after the messenger when it can’t rebut the message. It’s a surefire way to determine who’s lying or incompetent and who’s not, who’s got a grip on reality and who’s in denial. And sure enough as I kept reading:
Republican leaders frequently claim that cutting government spending will create jobs by removing the fear of higher taxes from the minds of the nation’s business owners and entrepreneurs…
So far, the Republicans have been unable to marshal an independent analysis that reflects that view. [emphasis mine]
In other words, they are pulling this economic “theory” clean out of their ideological butts.