Even billionaire Republican donor David Koch says the U.S. probably needs higher taxes to reduce the federal budget deficit.
"I think it's essential to be able to achieve spending reductions, and maybe it's going to require some tax increases," Koch, the eighth-richest man in the world and one of the most influential donors in the Republican Party, told Politico on Thursday.
Koch also called for a balanced federal budget, telling Politico, "otherwise, we're in a terrible deep problem." According to Koch, a balanced budget would require "probably every federal department ... to take cuts."
While his call for reduced spending is expected, Koch's concession on the need for higher taxes to balance the budget is a surprising move, given his overall support of shrinking the size of government.
