In a farewell speech, outgoing White House economic adviser Christina Romer touted the success of the stimulus package Wednesday and urged lawmakers not to shy away from more deficit spending to keep the momentum going.
The only “surefire” way to boost demand, she said, is to “spend more and tax less.”
That assessment, though, clashes with the claims of congressional Republicans who say dismal economic news of late underscores how ineffective the stimulus has been — and the need to change course.
Despite positive manufacturing numbers that sent the stock market surging Wednesday, the private sector shed jobs in August and construction continues to drop. Coupled with a run of bad news out of the housing market, the Commerce Department reported Wednesday that construction activity dropped for the third month in a row.
Economy, jobs the main issues in upcoming elections