WASHINGTON -- The increase in interest rates likely to come from any tax cut next year would not completely negate the benefits to the economy that the cut would produce, Congressional Budget Office Director Robert D. Reischauer told Congress yesterday.

Mr. Reischauer did warn that the rise in interest rates would partially negate the amount of stimulus to the economy provided by a cut in taxes. But he also said, "Would I expect [rates] to rise to much as to fully offset the stimulative effect? No."

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