Now is the time for a market-steadying tax cut
by Rense Johnson, Chairman
Citizens for Term Limits … for a fresh Congress!
September 16, 2008
A time of economic uncertainty is the ideal opportunity for a market-steadying tax cut, which by its nature will spawn many benefits.
The McCain-Palen Leadership Team is the team to propose it.
When President George W. Bush got his famous tax cuts approved by Congress, he was putting into practice what Presidents John Kennedy and Ronald Reagan already knew. In Kennedy’s words: “A rising tide lifts all boats.”
Meaning, that lower tax rates stimulate economic activity, benefiting the economy as a whole. Paradoxically, as the economy benefits from that increased activity, the government takes in more tax dollars, even with the lower tax rates. The rising tide metaphor is indeed apt.
After the Bush tax cuts passed early in his first term, the stock market, as measured by the Dow Jones Industrial Average, tacked on a gain of approximately 25% to the all-time intra-day of 14,198 on October 11 of 2007. This was promptly followed by a Democrat-created initial 2563-point plunge as of July 31, 2008. Then another Democrat-created low of 10,828, then the gut-wrenching 500-point plunge of September 15, 2008, a product of all those which for years had preceded it.
The big drops occurred about six months after the tax-and-spend Democrats took over in Congress. Is there a connection?
Absolutely. Why? Their lack of legislative accomplishment and politically-motivated infighting.
Barack Obama wants to associate the McCain-Palin Leadership Team with President Bush; perhaps he wouldn’t be quite so eager were he to review the above numbers.
Now is indeed the for a market-steadying tax cut.
The McCain-Palin Leadership Team is the Straight Talk Team to propose it.
Resulting economic activity will also bring additional revenue to the national treasury, to help attack the national deficit.
It worked for all Americans when Kennedy used it. It worked for all Americans when Reagan used it. It worked for all Americans when G. W. Bush used it. It will work for all Americans when The McCain-Palin Leadership Team use it. It’s called supply-side economics, and it always works.
It should be combined with a McCain-Palin Leadership Team promise to propose a Constitutional Amendment limiting congressional terms. Six years and six years, to clean out our career politicians (both parties) who set their own pay, perks and pensions, and who have legalized their own bribery from lobbyists bearing arm loads of cash — And who have forgotten who their bosses are, the American people.
Cleaning up Congress will bring out a new kind of public servants, ready to work together on both sides of the aisle and without party rancor, to solve problems and bring about uninterrupted progress for all Americans.
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