David Thomas: “I believe the Federal Reserve's recent warning about the dangers of deflation is worth noting in the context of this…”

“I believe the Federal Reserve's recent warning about the dangers of deflation is worth noting in the context of this debate. The spectre of deflation, I believe, raises the stakes in this debate over a growth and jobs plan. In fact, the May 6 statement of the Federal Reserve Board's Open Market Committee can itself be read as a plea to Congress to take the steps necessary to spur economic growth and prevent deflation. Lower tax rates to stimulate growth and greater liquidity to prevent deflation is exactly the right policy mix. The Fed has supplied the liquidity; it is up to us in the Congress to supply the lower tax rates. Our Nation's economy is in trouble. Americans expect the President and the Congress to take action to get the economy out of the ditch, back on the road creating jobs. Republicans and Democrats may differ on how best to use fiscal policy to help the economy, but to do nothing should not be an option. This President should be given a chance to use his policies to turn around our economy. This bill does just that.”