How To Improve The Economy

...by Republican Rebel

Bush Tax Cuts: What The Liberals Won't Tell You

It is time to set the record straight on the economy. Just what will make the economy work? President George W. Bush’s policy of tax cuts, that’s what. I am now going to explain. The Democrats have been madder then Jesse Jackson at a Klan Meeting over President Bush’s recent tax cuts and his plan to revive the economy. The Democrats liberal agenda has included a lot of whining and crying when it comes to deficit spending and tax cuts.

On one side of the coin, John Kerry and his liberal cohorts such as Al Gore and Hillary Clinton run off at the mouth about the tax cuts that were put in place by President George W. Bush and the Conservative Republican controlled Congress and Senate. They scream that the economy is doomed because Bush is driving up the deficit, but on the other side of the coin the liberals keep trying to push forward their socialistic agenda of expensive social and welfare programs.

Now let’s take a look at the problem with the road these liberals have chosen to take. The first problem is that when it comes to the huge social programs that the Democrats support, they have no problem with spending as much money as possible. The sky is the limit when it comes to these clowns. When it comes to Hillary’s Health Care programs, funding abortion clinics, establishing programs in the public school system that will promote homosexual lifestyles, or funding the National Endowment for Arts Museum so that obscene pornography can be displayed to the public, the Democrats have no problem with spending your tax dollars. What this boils down to is the Democrats are not looking out for you and I, but they are looking out for themselves because they know that the more social programs they provide, it will win them votes from the voters in their areas and get them reelected, and that is all they care about, their own job security.

Can we say the word, hypocrite?

Now the second thing we have to ask ourselves is the question “Is Our Gross Domestic Product, (GDP) really all that high?” Now I realize that the $477 billion amount may seem higher than any amount in the past, but one must examine and take a look at the percentage of GDP differentials. When President Ronald Reagan was in office in 1983, the federal deficit was $173 billion, but 6.0% of GDP. Now when Slick Willie Bill Clinton held America hostage in 1993, the federal deficit was $274 billion, and 3.9% of GDP. In contrast, the federal deficit under George W. Bush is $477 billion, yet is merely 4.2% of the GDP. This number does not seem all that unreasonable when you look at it through a larger vision.

The United States saw a huge period of prosperity and job growth the last time we created a deficit that was even larger then the one we have right now. Every time there has been tax cuts such as the ones President Reagan put in place, it has spelled the word s-u-c-c-e-s-s!  We are now experiencing an upswing in the economy. The economy rose 8.2 percent in the third quarter, and continued to rise 4 percent in the fourth quarter. Most economists if they know what they are talking about at all, will tell you that this is good news and promising for our future. Exports and consumer spending are also on the rise, which is a sign that there will most likely be further growth. 

You see this is how tax cuts actually work. It was Ronald Reagan’s “Trickledown Economics” that produced growth and not Bill and Hillary’s social welfare programs made possible by tax increases. If people will just use the brains that the Good Lord gave them they will be able to figure out that by getting the consumer to spend more, it will produce more revenues for the government. To put it plain and simple, a current deficit will increase economic activity by changing the way the consumers behave and get them to spend more which will result in more money for the government.

The deficit will come down and eventually vanish over time. This is what President Ronald Reagan advocated and put in place, and it can only happen again with serious and consistent tax cuts.

The Democrats refuse to admit this because it would spoil their agenda. They want to get re-elected and they are not about to tell you the truth and that is the bottom line. That is sad. If the Democrats have it their way, they will raise your taxes giving you less money to spend, thus increasing the deficit even more. The end results will be more layoffs, businesses collapsing, recessions, and ultimately depression. And that my friends is why I say that if you truly care, then you will not support the Democrats as long as they have these agendas in mind. Too bad the Democrats can’t follow in the example of what a Democratic President, John F. Kennedy advocated in 1962 while speaking at Yale University, when he said, “It is a paradoxical truth that tax rates are too high today and tax revenues are too low -- and the soundest way to raise revenues in the long run is to cut the tax rates now.”

President Kennedy was right then, and still is today. It’s a shame his own Democratic Party does not agree with him today. If John Kennedy were alive today, he would be labeled as a Republican for that remark!

This friends, is how we can improve the economy and bring down our deficit, and that is the bottom line.