Majority of Economists Favor Tax Increases to Reduce Federal Debt

The position among a majority of private sector economists is clearly at odds with the Republican establishment when it comes to deficit reduction.

Congressional GOP members have been firm on their resolve not to raise taxes to address the country's massive debt. However, a survey of some 250 business economists by the National Association of Business Economics finds more than three-quarters of respondents believe the best strategy to reducing the long-term deficit should include a mix of spending cuts and tax increases.

Meanwhile, fiscal conservatives maintain that the issue can be resolved through spending cuts alone. Nonetheless, the economists polled in the NABE survey do not appear to be gunning for the position on the other side of the aisle either. Of the respondents, 40 percent pointed to healthcare as the most important area for spending reductions, to which Democrats have voiced staunch opposition.

In an effort to placate both parties, President Barack Obama has expressed interest in a proposal that is favored more heavily toward spending cuts. Still, the president has not wavered in his belief that a two-pronged strategy is needed.

But as the Christian Science Monitor points out: "Although some business groups support generally conservative economic policies, members of the economics profession are politically diverse in their views."