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GOP Cuts Would Destroy Recovery

House Republicans relying on 'Confidence Fairy' with job-killing measures

By Matt Cantor, Newser Staff

Posted Mar 4, 2011 12:48 PM CST

(Newser) – We’re finally clawing our way up from the bottom of the very deep hole that is the recession: Unemployment has dipped amid a "virtuous circle of rising incomes and improving finances." Yet House Republicans are pushing spending cuts that would send us right back down again, writes Paul Krugman for the New York Times. If passed, "hundreds of thousands of jobs" would be lost, something Republicans believe will be offset by improved business confidence. As Krugman likes to put it, "they believe that the Confidence Fairy will make everything all right."

But “since when does starving the IRS for funds help reduce the deficit?” What’s more, other countries’ austerity plans simply aren’t working. Just ask Britain, where business confidence “plunged” after austerity measures were announced. As Republicans try to “blackmail” the White House into agreeing to their cuts, they’re pushing a package that would “do double duty, both undermining America’s future and threatening to abort a nascent economic recovery.”

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House Speaker John Boehner of Ohio, right, accompanied by Senate Minority Leader Mitch McConnell of Ky. speaks during a news conference on Capitol Hill in Washington, Wednesday, March 2, 2011. (AP Photo/Alex Brandon)

U.S. Senate Majority Leader Mitch McConnell (R-KY) (R) and House Speaker John Boehner (R-OH) arrive for news conference. (Getty Images)

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As I like to put it, they believe that the Confidence Fairy will make everything all right. - Paul Krugman

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Showing 3 of 36 comments

BastianAvser

Mar 5, 2011 4:25 AM CST

OBAMA = STALIN = BUSH…USA = USSR....WHO, WHY, AND HOW RUINED YOU…FROM 911 TO AUSTRALIAN FLOODS – ARIZONA SHOOTING – WIKILEAKS is CIA - ESKIMO SARAH PALIN'S "BRIDGE TO NOWHERE" -- LEARN ABOUT REAL HUMAN FLASH EATING MACHINE OR SO CALLED ECONOMY - BREAST FEEDING INSANITY -- CIVIL RIOTS IN ARAB COUNTRIES - NEWS/MEDIA or simply CENSORSHIP AND BIG FAT WORLD OF LIES !!??? - NEW WORLD ORDER POLITICAL PARTIES(REPUBLICANS = DEMOCRATS) http://avsecbostjan.wordpress.com/ or http://avsecbostjan.blogspot.com/ OBAMA = STALIN = BUSH…USA = USSR....WHO, WHY, AND HOW RUINED YOU…FROM 911 TO AUSTRALIAN FLOODS – ARIZONA SHOOTING – WIKILEAKS is CIA - ESKIMO SARAH PALIN'S "BRIDGE TO NOWHERE" -- LEARN ABOUT REAL HUMAN FLASH EATING MACHINE OR SO CALLED ECONOMY - BREAST FEEDING INSANITY -- CIVIL RIOTS IN ARAB COUNTRIES - NEWS/MEDIA or simply CENSORSHIP AND BIG FAT WORLD OF LIES !!??? - NEW WORLD ORDER POLITICAL PARTIES(REPUBLICANS = DEMOCRATS) http://avsecbostjan.wordpress.com/ or http://avsecbostjan.blogspot.com/

sclemens

Mar 4, 2011 10:22 PM CST

Just wait to see what $5.00/gallon gasoline does to your supposed recovery. krugman, even a broken clock is right 2 times a day. Your batting average is in the negative numbers. But then you are learning impaired.

cornelison

Mar 4, 2011 7:53 PM CST

Republicans want Obama to fail. If that means that Republican voters have to suffer along with Democrats, then so be it? Correct? The Republican Corporate Party is playing a high stakes gamble that Americans will flock to polls and vote for them because of religion & guns - unless Republican voters want to fail as well.

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GOP Cuts Would Destroy Recovery

House Republicans relying on 'Confidence Fairy' with job-killing measures

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OTHER STORIES ON OUR RADAR

consumer confidence • unemployment • businesses • budget cuts • Paul Krugman • budget deficit • House Republicans • opinion

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Krugman: Why are we obsessed with the deficit when millions need jobs?

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Deficit hawks exploited this crisis and made it worse: Krugman

Obama Must Call GOP's 'Bluff' on Debt Ceiling

Can't let hostage-holding House run the country: Paul Krugman

Barack Obama Has Gone AWOL

Not only is Obama caving to the GOP—he's 'celebrating' it, writes Paul Krugman

Face It, Washington: Defense Budget Must Shrink

Pentagon's policies 'outdated'; deficit's the biggest threat: Romesh Ratnesar

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