Skip to comments.Rudy Giuliani: Supply-Sider-in-Chief
Posted on 02/10/2007 9:26:03 PM PST by FairOpinion
Republican primary voters should rally around the GOP field's most accomplished supply-sider, the all-but-announced Rudolph W. Giuliani. Having sliced taxes and slashed Gotham's government, New York's former mayor is the leading fiscal conservative among 2008's GOP presidential contenders.
Before Giuliani's January 1, 1994 inauguration, New York's economy was on a stretcher. Amid soaring unemployment, 235 jobs vanished daily. Financier Felix Rohatyn complained: "Virtually all human activities are taxed to the hilt." Punitive taxes helped fuel a $2.3 billion deficit.
Mayor-elect Giuliani sounded Reaganesque when he announced he would "reduce the size and cost of city government" to balance the budget. In his first State of the City address, he said: "We're going to cut taxes to attract jobs so our people can work."
Giuliani spent eight years keeping these promises.
"America's Mayor" cut or killed 23 levies, saving taxpayers $9.8 billion. Giuliani pared Gotham's top income-tax rate by 20.6%. Washington, D.C.'s CFO reported that between 1993 and 2001, local taxes on a family of four New Yorkers earning $50,000 fell 23.7%.
Giuliani cut the commercial-rent tax, curbed sales taxes, and curtailed the marriage penalty on taxpaying couples. Giuliani proudly shaved Gotham's hotel tax from 6% to 5 in 1994. Consequently, that tax's revenues soared from $135 million in Fiscal Year 1995 to $239 million in FY 2001.
Giuliani defends his supply-side instincts with bracing candor. Asked after September 11 if he would hike taxes, Giuliani called that "a dumb, stupid, idiotic, and moronic thing to do."
Giuliani's expenditure growth averaged 2.9% annually, while local inflation between January 1994 and December 2001 averaged 3.6%. His FY 1995 budget decreased outlays by 1.6%, while his post-9/11 FY 2002 plan lowered appropriations by 2.6%.
If President Bush had followed Giuliani's example and limited Washington's spending to 2.9% average, annual growth, the just-unveiled FY 2008 federal budget would cost $2.275 trillion, not $2.9 trillion, saving taxpayers $625 billion, the Cato Institute's Stephen Slivinski estimates. Such Giulianian fiscal discipline would generate a $386 billion surplus, not an anticipated $239 billion deficit.
Giuliani repeatedly privatized municipal assets. Giuliani sold WNYC radio for $20 million, WNYC-TV for $207 million, and Gothams share of the U.N. Plaza Hotel for $85 million. Divesting the New York Coliseum excised an eyesore from Columbus Circle and added $345 million to city coffers. Giuliani also let the private Central Park Conservancy manage Manhattan's fabled urban forest.
These eight years of tax reduction and fiscal responsibility helped hammer unemployment from 10.4 percent in 1993 to 5.7 percent in 2001. Simultaneously, personal income advanced 53 percent.
It's hard to compare a two-term ex-mayor, a one-term governor, and a four-term U.S. senator. Nevertheless, Cato's 2006 gubernatorial report card gives former Massachusetts chief executive Mitt Romney a "C." While the top personal tax rate fell 6 percent on his watch, thanks to a referendum voters approved before he arrived, Romney's first budget raised $140 million by closing corporate-tax loopholes. It also featured some $501.5 million in increased fees, including higher marriage licenses (from $4 to $50), pricier gun permits ($25 to $100), a $100 biannual fee for volunteer firefighters (rescinded under pressure), and a $10, previously free, ID card that lets the blind ride Boston public-transit gratis.
Few in Congress expose outrageous federal boondoggles as fervently as does John McCain. However, he is an ambivalent tax fighter. According to Club for Growth research, McCain opposed President Clinton's 1993 tax increases and supported his 1997 capital gains tax cuts. He also voted to extend President Bush's 2003 tax cuts. For 2005, McCain earned a 78% National Taxpayers Union rating -- an "A."
Unfortunately, McCain opposed President Bushs 2001 and 2003 tax cuts. McCain voted against repealing the Death Tax in 2002. Also, in 1998, McCain embraced former Sen. Tom Daschle's (D.-S.D.) motion to approve Big Tobacco's Master Settlement Agreement, including a $1.10-per-pack cigarette-tax increase.
"I know a lot less about economics than I do about military and foreign policy issues," McCain conceded to Wall Street Journal editorialist Stephen Moore. "I still need to be educated."
Conservatives seeking a proven leader to lasso taxes and rein in runaway spending have a natural choice for President: Rudolph W. Giuliani.
I'm voting for Rudy; and if I am I think most are.
Sad, but true. After all "SHE CAN WIN," right?
Rudy McRomney scored a combined 25% in the last FR poll.
See tag line.
All these people telling us how "conservative" they are, while they bash nonstop any Republican who has any chance of beating the Dems but NEVER, NEVER criticize Democrats.
Makes one wonder as to their real credentials, as you implied.
Schwarzenegger's vetos are few and far between. Now he's foisting socialized medicine for illegals.
Or a "T", ( for the punch bowl condiment)
"Facts are stubborn things; and what ever may be our wishes, our inclinations, or the dictates of our passions, they can not alter the state of facts, and evidence." - John Adams
Rudolph Giuliani is nearly 100% in phase with the Democrat plaform, and almost 100% out of phase with the Republican platform. And them's the facts, Jack.
WASHINGTON, D.C. Congressman Tom Tancredo (R-CO) was awarded the Taxpayers Friend Award for 2005 by the National Taxpayers Union. Tancredos score by the group ranks him as the third most fiscally conservative Member of the House of Representatives. Tancredo has won the award every year since he was elected to Congress.
Now the real Rudy record.
TAXES: Giuliani did cut the marginal city income tax rates, reducing taxes by some $2.0-billion from 1996-2001, but those cuts only offset the $1.8-billion increase in city income tax rates put in place by Mayor Dinkins a few years earlier. In the end, taxes were actually cut by a modest $200-million. Freezing the 12.5% surcharge on high wage earners was good, but Giuliani didn't attempt to abolish that surcharge. Nor did Giuliani attempt to make serious permanent changes the city income tax code. The primary reason Rudy and the City Council agreed to cut taxes, was to make NYCity more appealing to new businesses thinking about locating/relocating to the Big Apple. A smart move, however, Rudy left office with NYCity the highest taxed big city in America, with some of the highest income taxes, property taxes and utility rates in the entire nation.
GOVERNMENT SPENDING: From 1997 to 2001, spending under Giuliani went up 32%. More then double the rate of inflation. Rudy left NYCity with a $2.0 billion deficit and a $42-billion debt. Second largest debt after the federal government. Giuliani also added 15,000 new teachers to the city employment rolls. Increasing the membership of two major liberal organizations, the National Education Association (NEA) and the American Federation of Teachers (AFT).
"The scope of government was not reduced at all. The mayor abandoned his most visible initiative in this spherethe proposed sale of the city hospital systemafter a struggle with the unions and defeats in the courts. He did cut costs in social services; even before the new federal welfare reforms took effect in 1997, the city had begun to significantly reduce caseloads. But money saved on social services has only helped to subsidize big increases in other categories. Today the array of social services sponsored and partially funded by the cityfrom day care to virtually guaranteed housingis as wide as ever.
"In the final analysis, Mayor Giuliani sought to make the city deliver services more efficientlynot to make the city deliver fewer services. Gains in efficiency were offset, however, by a spike in the costs of outsourced contracts (see point 2 below). Thus, in two areas where inroads might have been made, the city instead failed to reduce spending."
"1. Personnel Increases. In 199596, the city entered into a series of collective bargaining agreements with its public-employee unions. In addition to granting pay increases that ended up roughly equaling inflation, the city promised not to lay off any workers for the life of the contracts. These agreements were expected to add $2.2 billion to the budget by fiscal 2001. But that estimate didnt reckon with renewed growth in the number of city employees. After dipping in Giulianis first two years, the full-time headcount rose from 235,069, in June 1996 to over 253,000 by November 2000. Thanks largely to this growth in the workforce, the total increase in personnel service costs since 1995 has been $4 billion.
2. "Outsourced Services. The failure to shrink the scope of city government made it all the more imperative that Mayor Giuliani vastly increase its efficiency. In the attempt to increase productivity, the mayor farmed out some city services to private contractors. But as the number of outsourced contracts doubled under Giuliani, contractual expenses also nearly doubledfrom $3 billion to $5.8 billion. While it may be argued that the city saved money by outsourcing these services, the net savings turned out to be marginal at best. In practice, outsourcing proved to be more of a bargaining chip in negotiations with unions than a serious means of pruning expenses."
As the Manhattan Institute for Policy Research said: "Even with the tax cuts of the last several years, New York remains by far the most heavily taxed big city in the country."
Proof that Rudy Giuliani was NO fiscal conservative.
Once again, you show your tendency to outright lie. I count three in that one sentence.
1. Giuliani is no Republican.
2. We criticize Democrats all the time...even Rudy.
3. Giuliani has no chance of beating the Dems. He'll destroy the Reagan coalition before the General Election even kicks off.
Still voting for him... so are most Republicans... He's our next President... Sue...
Don't worry; I've got plenty to go around!
Do any known Giuliani-supporters troll and spam, say, Duncan Hunter threads?
"Rudolph Giuliani is nearly 100% in phase with the Democrat plaform, and almost 100% out of phase with the Republican platform."
Those are NOT the FACTS. It's the "BIG LIE". It's what the Democrats would like Republicans to believe so they will nominate someone the Clinton machine can roll over. They learned from 2006 that "divide and conquer" works, not to mention from 1992, when the Perot voters gave us 8 years of Bill Clinton and launched Hillary's political career.
Guliani will come a cropper same as your Arnold Schwarzenegger. Only this time it will be the entire United States that gets screwed
In CA the choice was Arnold or Bustamante, then Arnold vs. Angelides.
For the US in 2008 it is most likely to be Rudy vs. Hillary.
Are you saying that Bustamante and Angelides would have been better for CA and Hillary would be better for the US?
Truth is 'spam'? How Orwellian!
If anyone's destroyed the Reagan coalition it's Bush and his big-government, nannystating buddies in the GOP.
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