Jobs, Not Tax Cuts, Are What Economy Needs

In his column “Deflation Era a Harsh Reality for Washington” (Nov. 17), can James Flanigan believe, as many Republicans do, that tax cuts would end the recession? Although I don’t deny that tax cuts would put money into consumers’ pockets, I disagree that they would encourage them to go out and spend that money, thereby giving the economy a jump-start.

It should be obvious by now that taxes are not causing the current recession as much as spending cuts and unemployment. What is needed is more spending to create new jobs and more tax revenue.

I call your attention to another recent article in The Times, “The Incredible Shrinking Holiday Sales,” that appeared on the same page as Flanigan’s column. The article stated that despite having a higher household income than last year, consumers plan to spend less this holiday season because they are worried about unemployment.

Flanigan doesn’t even address the issue of unemployment until near the end of his column, where he states that “unemployment shouldn’t be a problem in a time of low population growth.”

Looking ahead to a decade of low population growth does not address the issue of recession this year. Flanigan points out that there is a “rising chorus of economic opinion” that the government should pump more money into the economy, but a boost in take-home pay through a paltry cut in Social Security taxes won’t encourage anyone to go out and buy a new car, will it?

The government should pump money into the economy by investing in America’s infrastructure at a time when Americans need jobs! As Harvard’s John Kenneth Galbraith said: “The time to worry about the deficit can come when the recession ends.”

I am sick of hearing about cuts, layoffs and bailouts; I want to hear about job programs. I would much rather see my tax dollars spent to give American workers training and jobs than bailing out another savings and loan.

CHARLES T. SHATES

Culver City