( CNN ) -- These are extraordinary times , and like a lot of Republicans I believe that a well-crafted stimulus plan is needed to put people back to work . But the Obama spending bill would stimulate the government , not the economy . Mitt Romney says Obama 's spending bill would stimulate the government rather than the economy . We 're on an economic tightrope . The package that passed the House is a huge increase in the amount of government borrowing . And we 've borrowed so much already that if we add too much more debt , or spend foolishly , we could invite an even bigger crisis . We could precipitate a worldwide crisis of confidence in America , leading to a run on the dollar or hyperinflation that wipes out family savings and devastates the middle class . It 's still early in the administration of President Obama . Like everyone who loves this country , I want him to adopt the correct course and then to succeed . He still has a chance to step in and insist on spending discipline among the members of his own party . It 's his job to set priorities . I hope for America 's sake that he knows that a chief executive ca n't vote `` present . '' He has to say yes to some things and no to a lot of others . As someone who spent a career in the private sector , I 'd like to see a stimulus package that respects the productivity and genius of the American people . And experience shows us what it should look like . First , there are two ways you can put money into the economy , by spending more or by taxing less . But if it 's stimulus you want , taxing less works best . That 's why permanent tax cuts should be the centerpiece of the economic stimulus . Watch Romney make argument for tax cuts » . Second , any new spending must be strictly limited to projects that are essential . How do we define essential ? Well , a good rule is that the projects we fund in a stimulus should be legitimate government priorities that would have been carried out in the future anyway , and are simply being moved up to create those jobs now . As we take out nonessential projects , we should focus on funding the real needs of government that will have immediate impact . And what better place to begin than repairing and replacing military equipment that was damaged or destroyed in Kuwait , Iraq and Afghanistan ? Third , sending out rebate checks to citizens and businesses is not a tax cut . The media bought this line so far , but they 've got it wrong . Checks in the mail are refunds , not tax cuts . We tried rebate checks in 2008 and they did virtually nothing to jump-start the economy . Disposable income went up , but consumption hardly moved . Businesses are n't stupid . They 're not going to invest in equipment and new hires for a one-time , short-term blip . What 's needed are permanent rate cuts on individuals and businesses . Fourth , if we 're going to tax less and spend more to get the economy moving , then we have to make another commitment as well . As soon as this economy recovers , we have to regain control over the federal budget , and above all , over entitlement spending for programs such as Social Security and Medicare . This is more important than most people are willing to admit . There is a real danger that with trillions of additional borrowing -- from the budget deficit and from the stimulus -- world investors will begin to fear that our dollars wo n't be worth much in the future . It is essential that we demonstrate our commitment to maintaining the value of the dollar . That means showing the world that we will put a stop to runaway spending and borrowing . Fifth , we must begin to recover from the enormous losses in the capital investment pool . And the surest , most obvious way to get that done is to send a clear signal that there will be no tax increases on investment and capital gains . The 2001 and 2003 tax cuts should be extended permanently , or at least temporarily . And finally , let 's exercise restraint in the size of the stimulus package . Last year , with the economy already faltering , I proposed a stimulus of $ 233 billion . The Washington Post said : `` Romney 's plan is way too big . '' So what critique will the media have for the size of the Obama package ? In the final analysis , we know that only the private sector -- entrepreneurs and businesses large and small -- can create the millions of jobs our country needs . The invisible hand of the market always moves faster and better than the heavy hand of government . The opinions expressed in this commentary are solely those of Mitt Romney .
Mitt Romney : We 're in extraordinary times and we need to stimulate economy . He says Obama 's plan would stimulate the government more than economy . Giving people permanent tax relief would be better than higher spending , he says . Romney : Business is better than government at creating millions of jobs .