Tactics versus strategy lead to political missteps

"Republicans theorize that a deficit deal would increase confidence in the business sector and financial markets, spurring economic growth all by itself. But there’s ample reason to suspect this ”expanding by contracting” theory. Sadly, the Obama Administration appears to have swallowed it. Last week, several White House officials, including Director of the National Economic Council Gene Sperling, stressed deficit reduction as the primary component of their economic-growth strategy, and repeatedly claimed that reducing the deficit would generate “confidence.”
...
“I think it’s bogus,” said Mishel, of EPI. “And it reflects what happened in the Clinton era, when you elevate a tactic to the level of principle. They feel politically forced into shifting to deficit reduction. And they now rationalize this as good for jobs. And I think they all know better.” Link.