Cap-and-Punt Is the Wrong Way to Cut Future Deficits
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May 30 (Bloomberg) -- Bracing for more economic shocks fromEurope, the U.S. urgently needs a barbell fiscal policy. Thatis, more immediate stimulus and more deficit reduction that isdesigned to take effect over time.
Unfortunately, policy makers are failing on both sides,mostly ignoring the need for additional stimulus while alsobecoming enthralled with the wrong kind of future deficitreduction.