‘Cliff’ Deal Will Happen: Motorola Solutions CEO
Although Republicans and Democrats are going through normal political posturing, a deal on the country's short-term fiscal problems is "absolutely" likely, Greg Brown, CEO of Motorola Solutions, told CNBC's "Squawk Box" on Monday.
"There's a universal recognition that we have to resolve it," the Motorola Solutions CEO said of the "fiscal cliff". Washington is trying to avoid the economic chaos that could ensue when eutomatic spending cuts and tax increases hit at the end of the year.
There are only so many levers that lawmakers can pull before they settle on making the tough choices, Brown said.
"There's recognition that tax revenues need to be higher, and there's recognition that across-the-board sequester cuts — not surgical or thoughtful — is a mistake."
However, Brown said that with President Barack Obama hinting at a willingness to look at entitlement reform, and more movement by Republicans on increasing tax revenues, there are hopeful signs of a compromise.
He added, "I absolutely believe we're going to get something done."
(Read More: Seeking Ways to Raise Taxes but Leave Tax Rate as Is.)
In terms of taxes, Brown said there are two issues to be resolved: the threshold and is the marginal tax rate touched. The CEO said that raising taxes on people making over $500,000 would be more reasonable than hiking rates on those at the $250,000 threshold. (Read More: The Millionaires Who Pay the Highest Tax Rate.)
The CEO also said that he's comfortable with millionaires paying more in taxes.
"If it's done in the tone of constructive collaboration and everyone picks up an oar and rows, I'm fine with that," he said.
