Businessweek Archives

Bush's Budget Could Deliver A Sharp Jolt To Growth


Economic Trends

BUSH'S BUDGET COULD DELIVER A SHARP JOLT TO GROWTH

How much fiscal stimulus is there in this year's federal budget? Economist Edward S. Hyman of International Strategy & Investment Group Inc. says that the Office of Management & Budget is projecting a 12% rise in spending (not counting outlays for the thrift bailout). Assuming real spending grows by 8%, Hyman figures that's enough to lift gross domestic product by 2% all by itself. "Add tax cuts, faster money growth, lean inventories, and some nice spring weather, and we could see a stronger pickup than expected," he says.GENE KORETZ


We Almost Lost the Nasdaq
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus