Erskine Bowles Joins the Announcement Effect Club

Erskine Bowles, co-chairman of the National Commission on Fiscal Responsibility and Reform, joined the Announcement Effect Club yesterday during the Commission's third meeting. Read Erskine's membership-affirming statement below:

We have to put forth a realistic plan, and if you put forth a realistic plan, people will believe it, and it will have a positive effect on the markets.

He also said "for that plan to be realistic, we have to be as specific as we possibly can," a statement we certainly agree with.

Bowles said that he didn't think any sort of cutback should happen until 2012 and that he thought we should be bolstering the recovery with more stimulus, so being part of the Club is not at odds with wanting to stimulate the economy. That is a point we can't stress enough. In fact, pairing short-term stimulus with medium-term deficit reduction is alot of what the Announcement Effect Club is about.

We're glad to have Co-Chairman Bowles on board.