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In his Jan. 8 letter, Daniel John Sobieski makes a case for Bush’s tax cut. He overlooks some fundamental economic principles.
Natural gas price increases and slumping retail sales have largely been caused by bad weather. These are short-term phenomena and will subside without intervention.
Mr. Sobieski asserts that the economy is slowing because we are overtaxed. If that is true, then why was the economy so strong over the past five years at the same tax rate?
If the Fed recharges the economy and then a tax cut overheats it, a recession will likely result. To avoid that scenario, the Fed and the president must work together, not against each other.
