Circumnetting a Departing Congress, the Economy and Taxes

By September 29, 2010Economy, Taxation

Politico, “Biz leaders gloomy on economy

A wide swath of U.S. businesses Tuesday reported that the economy has slowed significantly in the last few months, and they said that the tax stalemate in Washington was a major reason that flagging consumer sentiment is now endangering the recovery.

In separate reports, big business members of the Business Roundtable, along with manufacturers, home builders and the oil industry gave gloomy assessments of the recovery and said Congress’ decision to postpone action on tax cuts until after the election was weighing heavily on consumer sentiment.

The first reference is to the Business Roundtable’s latest CEO survey, which reports: “The CEOs of America’s leading companies plan increased capital spending over the next six months, but have lower sales and employment expectations, according to the results of Business Roundtable’s third quarter 2010 CEO Economic Outlook Survey.”

The second paragraph refers to a briefing hosted by the American Petroleum Institute that featured Dave Huether, the National Association of Manufacturers’ chief economist. For more, see The Energy Tomorrow blog post, “Economists: Higher Taxes Could Harm Economic Recovery.”

The Oil and Gas Journal also reports on the briefing, “New taxes would harm fragile US economy, economists agree.” See also Market News International, “US Econs See Weak Outlook For Recovery; Consumer Confidence Key.”

The Hill, meanwhile, reports this shocking news, “Sanders slams Chamber, NAM in opposing outsourcing bill.” The NAM’s job is to represent its members and manufacturers, among whom there was vigorous opposition. See the “Key Vote” letter. It’s easy to rage about greed, easier than facing the realities of global competition.

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