Wednesday, July 12, 2006

Taxes Cut, Deficit--not Sky--Falls

Liberals wrung their hands when President Bush first proposed tax cuts back in 2001. It would ruin the economy and balloon the deficit, they wailed. Now, we are seeing the deficit falling rapidly.

This year's deficit of $296 billion is 30 percent lower than projected just last February. That's a $127 billion decline from that February forecast. Revenues have increased, accounting for 90 percent of the deficit reduction. This is an historic moment and President Bush is right to call attention to the success of his pro-growth economic policies. FRC supported those tax cuts, especially the pro-family portions of the tax package. Now we see that they are working to the benefit of all Americans.

It's not only a victory for President Bush, it's also vindication for Ronald Reagan. When he first proposed massive tax cuts in 1980, Reagan was criticized for "voodoo economics." Later, liberal pundits blamed President Reagan for the deepening recession that began on Carter's watch. But, as Reagan's tax cuts began to work, and America rebounded, he smilingly said: "You'll notice they don't call it Reaganomics any more." Thank you, President Bush, for staying the course.

Tony Perkins, Family Research Council

3 comments:

crummywatertowr said...

Don't count your chickens before they hatch...it would really take another year for it go in decline (esp from the 4th largest deficit ever) to really be something to be proud of and to be a vindication for the tax cut method.

Cajun Tiger said...

Crummy...you definitely have your lefty talking points down pat...ignore the booming economy as long as possible...once it can no longer be ignored...downplay it.

crummywatertowr said...

Actually this is me being a conservative. War and tax cuts don't go together. It's not fisically responsible. Almost every expert (granted they could be wrong) has said the money from corprate taxes (where the "boom" occured) will not be as high next year. So I'm in a wait in see mode before I give kudos. That is all.


And for you information, in my free enterprise class, I did praise Bush for having (at the time I was teaching it) a strong economy. My students had trouble believing in because of gas prices, but don't worry I'm a good teacher and told them that the economy was strong.