Tax Cuts Spur Economy

I am disappointed that The Times has argued against tax cuts, the one policy prescription that will improve the economy (“Tax-Cut Hemorrhage,” editorial, Aug. 29). Reducing taxes increases the incentive to earn more, thus generating faster and larger economic growth. If anyone questions this theory, one only has to look to a tax heaven such as Hong Kong, which has incredible economic growth, and to tax-and-spend countries in Europe that have very, very low economic growth.

The last thing we need is tax increases, which will take more money out of the economy and thus slow the recovery. What we need now are responsible legislators who can reduce governmental spending whenever tax receipts are low. But don’t hold your breath on that one.

Michael Gordon

Los Angeles