ON-Lion Letter
Cautioning that economic growth may soon slow to a standstill, Bradley Prize recipient Martin Feldstein called for a two-part, national economic strategy during a December speech sponsored by the University of Wisconsin-Milwaukee.

Feldstein's recommended strategy would combine substantial interest rate-cuts by The Federal Reserve System -- pushing benchmark rates to 3% in 2008, down from 4.5% at the end of 2007 -- with a temporary tax cut that would stimulate the economy if it dips in '08.

Feldstein is the George F. Baker Professor of Economics at Harvard University.  Since 1977, he has been president and chief executive officer of the National Bureau of Economic Research.  From 1982 to 1984, he was chairman of the Council of Economic Advisors and President Ronald Reagan's chief economic advisor.

His remarks were part of the Bradley Distinguished Lecture Series, sponsored by UW-Milwaukee's Sheldon B. Lubar School of Business.  He also addressed the subprime-mortgage crisis.
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