Washington Outlook: CAPITAL WRAPUP
TAX (CUTS) AND SPEND
Congressional Republicans have no plans to pay for their proposed $245 billion tax cut with spending reductions. Most of it will be financed with a $170 billion "fiscal dividend"--lower interest rates that, in theory, would be triggered by movement toward a balanced budget in 2002. The rest of the money would simply be borrowed, adding to the $5 trillion national debt. Democrats wonder how the GOP will get its fiscal bonus by financing tax cuts with more red ink.