Local Connection: Economic Stimulus - Hawaii News Now - KGMB and KHNL

Local Connection: Economic Stimulus

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By Rick Blangiardi

HONOLULU (HawaiiNewsNow) - President Obama is asking congress to pass new economic stimulus. Republicans say stimulus plans don't work.

The truth is somewhere in the middle. We have definitely seen *some* stimulus plans that didn't work.

Tax cuts meant to stimulate spending don't work in economic slumps. People just bank the money.

That happened when tax rates were cut for the wealthy. A broader tax rate during george w. Bush's second term had the same effect.

So if tax breaks won't work, what will? The weakest part of the economy is construction.

At the same time, state and federal infrastructure needs work.

Governor Lingle made that connection years ago. President Obama is talking about it now.

The idea is, put people to work repairing schools and fixing roads.

The key is, this is work that needs to be done anyway.

Even congressmen who oppose other spending plans should support a speed-up of infrastructure repair work that absolutely, positively *has* to be done eventually.

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