TPM: Moody's: GOP Budget Would Cost 700,000 Jobs

[flpoljunkie]

Moody's: GOP Budget Would Cost 700,000 Jobs

Evan McMorris-Santoro
February 28, 2011, 2:30PM

The Republican plan to cut government spending by more than $60 billion dollars will cost the unemployment rate dearly, according to a new report from Moody's Analytics.

According to Moody's chief economist Mark Zandi -- who the Washington Post reports "has advised both political parties" -- Republican plans to slash government spending will impact the GDP in such a way that would eliminate hundreds of thousands of jobs this year and the next.

From the report:

The House Republicans' proposal would reduce 2011 real GDP growth by 0.5% and 2012 growth by 0.2 percentage points This would mean some 400,000 fewer jobs created by the end of 2011 and 700,000 fewer jobs by the end of 2012.

Republicans were nonplussed by the findings.

"The fact that a relentless cheerleader for the failed 'stimulus' -- which the Democrats who run Washington claimed would keep unemployment below 8 percent -- refuses to understand that ending the spending binge will help the private sector create jobs is sad, but not surprising," a spokesperson for House Speaker John Boehner told Bloomberg.

more...

[valerief]

1. Only in the U.S. where no one wants to invest. No loss to the Richy Riches. nt

[NewJeffCT]

2. and, Mark Zandi is a former adviser to John McCain

during his 2008 presidential run. So, if a GOP economist says this, I'm sure Boehner will do a 180 now.

[Nancy Waterman]

3. This should be made to go viral

And Dems should be on TV blasting this point. Make the GOP own the uptick in unemployment when their cuts are made a reality. It needs to be pounded into the American psyche so it registers.