PNC’s Hoffman Says Tax Compromise Would Boost U.S. Economy

The tax compromise between President Barack Obama and Republican lawmakers would raise economic growth and lower unemployment if it’s approved by Congress, said economist Stuart Hoffman.

The plan would add 0.25 percentage point to gross domestic product in 2011 and cut the unemployment rate to 8.8 percent or 8.9 percent, Hoffman, senior vice president and chief economist at PNC Financial Services Group Inc. in Pittsburgh, said today in a radio interview on “Bloomberg Surveillance” with Tom Keene.

Last month, the jobless rate rose to 9.8 percent. The economy expanded at a 2.5 percent annual rate in the third quarter.

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To contact the reporters on this story: Vincent Del Giudice in Washington vdelgiudice@bloomberg.net; Thomas R. Keene in New York tkeene@bloomberg.net.

To contact the editor responsible for this story: Christopher Wellisz at cwellisz@bloomberg.net

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