Alan Greenspan, former Federal Reserve chairman and registered Republican, says it's time to let go of large-scale tax cuts for the wealthy.
“If we do not get Simpson Bowles as a fallback,” Greenspan told CNBC, referring to a large-scale deficit reduction program proposed by the co-chairs of President Barack Obama’s fiscal commission, “I stand with allowing the Bush tax cuts to expire. You could do it gradually, whatever. But if we think we have this luxury of waiting for a couple of years with a little stimulus now and then later tightening up. I hope the bond markets are listening.”
Greenspan’s comments come as lawmakers are wrangling over the best way to reduce the nation’s budget deficit. President Barack Obama proposed raising taxes on millionaires as part of a plan of spending cuts and tax increases to reduce the budget deficit. Republican leaders responded by accusing Obama of promoting class warfare.