Posted on 07/01/2004 11:28:15 AM PDT by Bill Hobbs
The implications of this study cannot be overstated. We face the possibility of a shift of policy at the national level that could result in higher marginal progressive tax rates. Sen. Kerry has made it clear he plans to raise the tax rates of what he calls "the rich". Many of them are entrepreneurs who pay personal taxes on their businesses due to their S-corp, LLC, or partnership status. ... Entrepreneurs are not just leading this recovery, they are transforming this economy. The changes being planned by the democrats could act like a cold, wet blanket on our economic future.
I still believe that the incredibly rapid change from decades of deficit to surplus was a major cause of the Clinton economic crash, just as the Bush tax cuts are the major factor in recovering from it. I am not arguing for deficits, just for the power of fiscal policy over economic activity. Keynes was wrong about many other things, but not entirely so about this.
Failing to keep - and extend - the Bush tax cuts would put us back in the same hole we just climbed out of. As for the deficit, economic growth will solve it, just as it did then, but it will require better management to keep from repeating the Clinton errors.
Hasn't that always been the Lib's objective?
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