LONDON (CNNMoney.com) -- Former Federal Reserve chief Alan Greenspan believes Congress should let the tax cuts enacted by President George W. Bush expire for all Americans in order to address the widening deficit, according to a TV interview airing Friday.
"They should follow the law and let them lapse," Greenspan told Bloomberg TV's Judy Woodruff.
The 2001 and 2003 tax cuts are due to expire at the end of the year. President Obama had promised to make them permanent for families making less than $250,000. (Read 'Bush tax cuts up in the air')
But faced with growing fiscal challenges, there's debate in Washington about whether the country can afford to permanently extend the tax cuts.
Greenspan, who backed the tax cuts when they were enacted, told Woodruff that allowing the cuts to lapse "probably will" slow growth, but that the risk posed by doing nothing about the deficit is greater.
LinkedIn shares surged in after-hours trading Thursday following strong second-quarter earnings, following the likes of Facebook and Twitter. More
Terrell White has had a profit-sharing plan for his employees since 1981, believing that if the staff isn't happy, guests won't be either. More
The Mason family, which has been struggling to pay the $100,000 student loan bill they were left with when their daughter passed away five years ago, is now seeing an outpouring of support. More