- The Washington Times - Thursday, February 27, 2003

Glenn Hubbard, the chief architect of the Bush administration's tax-cut package, announced his resignation yesterday as head of the president's Council of Economic Advisers.
The White House released a one-page letter from Mr. Hubbard saying that tomorrow would be his last day as chairman of the three-member council.
A separate statement issued by the White House said Mr. Bush intended to nominate Gregory Mankiw, a Harvard University economics professor, to take over as chairman of the council in place of Mr. Hubbard, who had served as chairman since May 2001.
Mr. Mankiw, 44, is an expert in monetary and fiscal policy and the author of two widely used college textbooks on economics: "Macroeconomics" and "Principles of Economics," the latter an introductory textbook for which Mr. Mankiw received a $1.4 million advance in 1997.
While Mr. Hubbard's resignation had been expected, it comes at a sensitive time for the White House. The administration is trying to persuade Congress to pass a $674 billion economic-stimulus plan that Mr. Hubbard had a major hand in developing.
An expert on the economic effects of taxes, he was a strong advocate for the proposal's centerpiece: elimination of the double taxation on stock dividends.
This idea, however, is the most contentious part of an overall plan that Democrats say offers little immediate help to the economy. They also say that most of the $360 billion in tax breaks over 10 years would flow to the wealthiest investors.
In his resignation letter, Mr. Hubbard made only a passing reference to the stimulus plan Mr. Bush released in early January.
"While more remains to be done particularly the significant jobs and growth initiative you have proposed your administration has made excellent progress," Mr. Hubbard wrote.
He offered his continued services to the administration when he returns to his career as a professor. Mr. Hubbard had been on leave from Columbia University in New York.
Mr. Bush in early December shook up his economic team by demanding the resignations of Treasury Secretary Paul H. O'Neill and Lawrence B. Lindsey, director of the president's National Economic Council.
That council coordinates economic policy in the executive branch. Mr. Hubbard's team, usually made up of experts with doctorates in economics, provides analysis of administration proposals.
Mr. Hubbard referred in his letter to a conversation he had with Mr. Bush in the fall in which he discussed the possibility of leaving.
Officials said Mr. Hubbard, whose wife and two young children had remained in New York, had wanted to leave for some time so he could spend more time with his family.
"As I discussed last fall, this decision is a difficult one, as serving you in the campaign and in this post has been the greatest honor and privilege of my professional life, but family needs are my most significant concern," Mr. Hubbard wrote.

Copyright © 2019 The Washington Times, LLC. Click here for reprint permission.

The Washington Times Comment Policy

The Washington Times welcomes your comments on Spot.im, our third-party provider. Please read our Comment Policy before commenting.


Click to Read More and View Comments

Click to Hide