Wall Street sadness of one! .What the Bush tax cuts to make up something?.

<P> Huge tax cuts Bush wants to save the current U.S. economy, but his success depends on the plan and how he can respond as soon as possible its negative effects, including the budget deficit out of control and the subsequent rise in prices may occur. .</ P> <P> on Friday, Bush announced a 145 billion U.S. dollars worth of tax cuts. ."Need for broad tax cuts stimulate the economy." Bush said Friday that the bill will benefit every American, and will help the U.S. economy out of slump. .But Bush did not disclose the specific details of tax cuts, but will focus on the macroeconomic level, he believes the U.S. is a huge economy, the government will take a large-scale action can have a significant economic stimulus, so he thought a .% of U.S. GDP is about 145 billion U.S. dollars is a good figure. .</ P> <P>: http://finance. Now suffering the test of the U.S. economy, including slowing economic growth, rising unemployment and runaway energy prices. .Finally, the Bush tax cuts could take place also depends on congressional approval. .But now the question is whether tax cuts help the U.S. economy out of trouble. .</ P> <P> tax effects of difficult sentence </ P> <P> "I agree that fiscal policy is helpful, in theory, fiscal policy and monetary policy cooperation can be compared with the single monetary policy to rely more on the economy from .broad support. "Fed Chairman Ben Bernanke welcomed Bush's policy, Bernanke that such policies can be implemented quickly, then the next one year to the economy from support. .</ P> <P> Bernanke for the current economic outlook have become more pessimistic about the situation he believes is likely to remain poor in 2009, but as with the U.S. government, Bernanke do not think there will be a recession. .Before Bush announced the plan, Bernanke said assistance program from 50 billion to 150 billion U.S. dollars will be among the more reasonable. .</ P> <P> In addition, U.S. Treasury Secretary Henry Paulson has also expressed similar views, he believes the long term U.S. economic growth is based on solid, but some difficulties in the short term, and it was only necessary because the government .introduce some measures to stimulate short-term economic growth. .</ P> <P> However, some analysts said the effectiveness of fiscal policy on the consumer's attitude and policy can be implemented more quickly. .</ P> <P> "consumer on the consumer expectations for the future, not to their pocket hundreds of dollars. The U.S. government needs to do not get too bad, when to act." P. White & .; Co-founder, Philip White, principal analyst, said, "If the public is extremely pessimistic about the future of the economy, then tax the benefits will be saved, not spent, and this tax cut on the economy in .do not help. "after the publication of the Bush program, but the U.S. stock market declined sharply, indicating that the market is not optimistic about the program. .</ P> <P> the Global Insight U.S. economist Brian Bethune, believes tax cuts will boost economy, though probably not fundamental. .Bethune said the tax cuts would increase the U.S. economic growth of 0.5% this year, may impact the U.S. economy into a mild recession, or can prevent the emergence of recession. .Another Lehman Brothers economist Ethan Harris, chief, said in the report, if the 100 billion U.S. dollars in tax cuts started from the second quarter, GDP in the local contribution of 0.8 percentage points, while the third quarter, the economy will grow 0.2%. .There are many analysts believe the first two quarters of this year will be the U.S. economy is the most difficult times. .</ P> <P> even if the tax cuts will effectively promote economic growth, but the impact of tax cuts for the financial health still can not be ignored, the U.S. government's budget deficit remains high, while the tax cuts will undoubtedly be worse, .Bush did not give him the 145 billion U.S. dollars to tax cuts for the financing details. .</ P> <P> Another risk would come from inflation, in general, through tax cuts or government spending means a substantial increase in economic growth, economic growth tends to stabilize in the face of inflation risk. .</ P> <P> Bush's proposed tax cuts permanent </ P> <P> Bush announced the 145 billion U.S. dollars in tax cuts at the same time appeal to the U.S. Congress should be the current tax cut permanent. .</ P> <P> on Friday, Bush said the tax increase more and more imminent in the U.S. economy the most uncertainty, and if Congress does not act, America in the near future people will face huge tax increase. .George W. Bush took office that is their influence to promote a wide range of tax cuts, if Congress is not delayed, many tax bill will expire in 2010. .</ P> <P> difficulties facing the U.S. economy, Bush once again expressed the hope that when the implementation of permanent tax cuts, but he was 145 billion U.S. dollars with different tax bill, permanent tax cuts has not been widely recognized. .</ P> <P> Democratic congressman Chet Edwards in the hearing when the U.S. Federal Reserve Chairman Ben Bernanke asked: "In your opinion, if the tax cuts permanent so that the Bill will not expire in three years, whether this will .then a significant impact on the economic downturn. "</ P> <P> Bernanke replied:" We are discussing short-term economic stimulus act ... ... so I think that the money can be handed in the short term business .and family hands, and let them for consumption policy is more effective. "</ P>.