A former advisor to Mitt Romney on all matters economic is telling Americans something they won't want to hear: your taxes need to go up if you expect to keep your precious entitlements.
Harvard economist Gregory Mankiw wrote publicly
that if US citizens plan to enjoy the level of welfare they've come to expect, they're either going to have to pony up more of their income to the state or come to grips with cuts in Medicaid, Medicare and Social Security. Business Insider reports
on what the economist says he couldn't
say during his stint on the Romney campaign:
Ultimately, unless we scale back entitlement programs far more than anyone in Washington is now seriously considering, we will have no choice but to increase taxes on a vast majority of Americans. This could involve higher tax rates or an elimination of popular deductions. Or it could mean an entirely new tax, such as a value-added tax or a carbon tax."
And if you're looking for evidence that a counterfactual Romney presidency would be no guarantee of a low tax regime, Mankiw provides it: "An unwavering commitment to keep middle-class taxes low could be one reason the political process has become so deeply dysfunctional."
Via Business Insider