Coming Hike

National Review Online ^ | July 30, 2007 | Jon Kyl

[Bobkk47]

When Republicans passed major tax relief packages in 2001 and 2003, we predicted that a booming economy, new jobs for millions of Americans, and an increase in investment and innovation would result. The past several years have proved our theory correct: When government gets out of the way, the American people will get to work.

The 2001 and 2003 tax reductions have spurred more than five years of uninterrupted growth. The economy grew at a robust 3.4 percent in the second quarter of 2007. Productivity growth has averaged 2.8 percent since 2001, considerably above the average of each of the past three decades. Since August 2003, our economy has created more than 8.2 million jobs, and the current unemployment rate is just 4.5 percent, lower than the averages of the 1960s, 1970s, 1980s, and 1990s. Wages have been on the rise, and real after-tax income is up 9.9 percent since President Bush took office, an average of nearly $3,000 per person.

The tax relief has helped produce an economy that has generated higher than expected tax revenues for the federal government. Tax receipts have risen 37 percent over the last three years and are projected to increase another 7 percent this year. These rising tax receipts have, in turn, helped drive down the deficit, which is projected to drop significantly in 2007 for the third year in a row. The deficit this year is expected to measure just 1.5 percent of GDP, considerably below the average of the last 40 years.

[Bobkk47]

Tax hikes are coming from the Democrats, according to Sen. Kyl.

[RC2]

The rise in taxes by the Dem’s is because the more money you have, the less control they have over you. It’s hard to force people to do things when the people have the money to fight them.