Townhall…
Democrats
Need a 12-Step Recovery
Program on Taxes
By Larry Kudlow
7/5/11
Here’s
a question: Why is repealing
the Bush tax cuts such a constant obsession for the Democratic Party?
Especially the top rates for the most successful earners and small
business
entrepreneurs?
It
seems this is the Democratic answer
for every single issue, every problem, every debate.
This,
of course, saddens me
enormously.
And
so, always ready to help, I am
recommending a 12-Step program to help them overcome their anger,
resentment,
and obsession over the Bush tax cuts. Democrats really need a Higher
Power on
this.
First,
when tax rates were lowered
across-the-board in mid-2003, the incentive effect kicked in to
jump-start the
economy immediately. Over the next four and a half years, before the
financial
meltdown slammed the economy-- and that was a credit event, not a
fiscal
one—8.2 million jobs were created.
Jobs
essentially rose for about fifty
consecutive months.
Non-farm
payrolls rose from just under
130 million to just over 138 million. Don’t believe me? You can look it
up.
This sort of job creation is exactly what President Obama would love to
see
happen now.
And,
while jobs rose, the government
took in more revenues. As a share of GDP, revenues rose from 16.2
percent to
18.5 percent. Simply put, supply-side tax cuts were the single best
economic
policy President Bush implemented.
Elsewhere,
President Bush overspent
and overregulated. And yes, the dollar collapsed on his watch. And from
Fannie
Mae to the Federal Reserve, the housing bubble was born.
But
the tax cuts? They worked. And
that’s my point.
Read
it at Townhall
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