LOC00:41
21:41 GMT
tax cuts
WASHINGTON, Dec 8 (KUNA) -- White House economic adviser Larry Summers
warned Wednesday that failure to pass a hotly debated new tax cut through
Congress "would significantly increase the risk" of a double-dip recession in
the U.S.
At an off-camera press briefing this afternoon, National Economic Council
director Summers and other White House officials made case for the
controversial deal President Barack Obama struck with Republicans, which has
proven among Democrats in particular.
"If this process were to break down and a bill were not passed," Summers
said, not only would economic projections recently revised upwards not happen,
"downward revisions would commence."
Summers says he thinks Congress will pass the two-year extension of tax
cuts for the rich as well as the middle class. He added that he does not think
that Congress would take a step that "materially increases the risk that this
economy will stall out." That's what he says could happen if Congress fails to
act.
Summers says positive reviews coming in from economists show the deal is
the right thing to do. (end)
hy.mt
KUNA 090041 Dec 10NNNN