LETTER: Recovery lies in fair taxationTo the Telegram: Have you wondered why our economy is growing so slowly? You and I could do better.
To the Telegram:
Have you wondered why our economy is growing so slowly?
You and I could do better. It has been done at least three times before. You lower tax rates and reduce regulation, and you have an economic boom. Kennedy did it and Ted Sorenson wrote in “Kennedy,” “the U.S. experienced the longest and strongest economic expansion in this nation’s modern history.”
Reagan did it and the Joint Economic Committee reported in April 2000, “His policies resulted in the largest peacetime economic boom in American history and nearly 35 million more jobs.”
Bush did it and the U.S. Department of Labor wrote, “From 2001 to early 2003, the U. S. was losing an average 103,000 jobs per month. A full year after the 2001 recession, job growth was still declining. Then in May 2003, the second Bush tax cuts were passed, lowering income, capital gains and dividend tax rates. By the end of 2007, employment had risen 8.1 million, an average of 148,000 jobs each month.”
It is stunningly obvious how to fire up our economy. You would have to be blind not to see it. Kennedy had a recession as did Reagan. Bush had the dot.com disaster and 9/11.
Now that we remember how to fix this mess, what is the best way? Here’s a hint: Beginning Jan. 1, Kansas will have a zero percent tax rate on business owners. The bill would totally exempt certain non-wage business income that under current law is subject to individual income tax. The states around Kansas don’t know how to compete. Kansas City, Mo., is especially worried about losing businesses to Kansas.
The FairTax is similar legislation. When we pass the FairTax, the U.S. will become the manufacturing and business capital of the world for decades to come. Once businesses settle here, it’s game over.