Tag Archive: Prosperity
” One of the most dangerous myths that has infected the current debate over the direction of tax policy is the oft repeated claim that the tax increases under President Bill Clinton led to the boom of the 1990s. In their Wall Street Journal Op-Ed last Friday, for example, Clinton campaign manager James Carville and Democratic pollster and Clinton advisor Stanley Greenberg write the increase in the top tax rate to 39.6% “produced the one period of shared prosperity in this past era (since 1980).”
While this myth is now a central part of liberal Democratic folklore, it is contradicted by the political disaster and poor economic results that followed the tax increase. The real lesson of the Clinton Presidency is the way back to prosperity lies not through increased taxes on “the rich,” but through tax and regulatory reform and a return to a rules based monetary policy that produces a strong and stable dollar.
The 1993 Clinton tax increase raised the top two income tax rates to 36% and 39.6%, with the top rate hitting joint returns with incomes above $250,000 ($400,000 in 2012 dollars). In addition, it removed the cap on the 2.9% Medicare payroll tax, raised the corporate tax rate to 35% from 34%, increased the taxable portion of Social Security benefits, and imposed a 4.3 cent per gallon increase in transportation fuel taxes.
If these tax increases were good for the middle class, then they should have been popular. Yet, in the 1994 elections, the Democratic Party suffered historic losses. “
- James Carville Says 80% Of Democrats Are Politically Clueless | THE JEENYUS CORNER (jeenyuscorner.com)
- Obama Would Push Taxes on Top Earners Above Clinton Level – Bloomberg (bloomberg.com)
- Fiscal Cliff Tax Rate Hikes Will “Greatly Impact Small Businesses” (speaker.gov)
- Republicans Seek Fiscal Cliff Delay With Debt Card: Taxes – Bloomberg (bloomberg.com)
” One of the few things Americans on both sides of the partisan divide can agree on is that this election is shaping up to be vexingly petty. The hunt for gaffes –some real, many imagined — has taken over. Romney’s recent overseas tour, we are told, produced three: an impolitic, if defensible, statement about Britain’s preparations for the Olympics; a statement about the importance of culture in economic development; and when an aide to Romney dressed down a reporter with an inflated sense of entitlement.
Not only is that list pathetic in its own right, in the rush to paint Romney’s campaign as hapless, the press and partisans glossed over a philosophical insight worthy of a presidential debate.”
Why we need a new ” Age of Milton Friedman”
“Mr. Moore ends his piece in the Journal by quoting Harvard’s Andrei Shleifer as describing the period from 1980 to 2005 as “The Age of Milton Friedman.” During it we “witnessed remarkable progress of mankind. As the world embraced free-market policies, living standards rose sharply while life expectancy, educational attainment, and democracy improved and absolute poverty declined.” I suppose a question worth asking in this election year is, are we finished with such progress or shall we begin “The Age of Milton Friedman” anew?”
“We cannot just cut our way to prosperity.” Barack
Not only can we , but we MUST . The only way to prosperity is for government to get out of the way . Our prosperity is a result of the efforts of private citizens and private enterprise and that effort affords government the means to provide services . The government DOES NOT provide the citizenry with prosperty or the means to it .
Barack and co. need to be reminded who works for whom .