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| A Brighter Economic Future |
February 20, 2002 |
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The Council of Economic Advisors recently released a report showing that the tax relief bill enacted last year has softened the blow to the economy and has helped create jobs. The report provides hard economic evidence that the tax relief passed by Congress last year is creating jobs, has provided a powerful economic stimulus, has softened the recession, and has laid the foundation for long run economic growth.
While we still face the task of creating more jobs and providing relief for the unemployed, the damage to our economy could have been much greater had we not passed this important tax relief.
According to the report, the tax relief will have helped the private sector create 800,000 more jobs than there otherwise would have been by the end of 2002. It has also raised the prospects of a solid recovery in 2002 by boosting economic growth by 0.5 percentage point, lifting the expected growth rate from 2.2 percent to 2.7 percent. Without tax relief, third-quarter growth would have been much worse, contracting at a 2.5 percent annual rate instead of the reported 1.3 percent rate. Tax relief has provided powerful stimulus for the future, with reductions in marginal tax rates that improve incentives and leave in the hands of Americans a greater share of their own money to spend on retirement investment, education, or on whatever their needs may be.
To view the entire report go to
http://w3.access.gpo.gov/eop/ |
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