The economy would improve if we cut the budget deficit right now. Baloney.
As long as many Americans are still out of work – remember 8.8 million lost jobs because of the corporate/banking criminal behavior -- the first priority must be jobs and growth. Government spending counteracts the shortfall in private spending. Until employment and growth are restored to normal levels, budget cuts only increase unemployment and reduce tax revenues. We should start cutting the federal budget only when the economy is back on track, when unemployment drops to around 5% and growth is back to 3%.