A Citigroup economist notes that the 2-year period ending in the third quarter of 2005 provided the most stable GDP growth in American history. Of course, President Bush's tax cut was enacted in May 2003, followed by an explosion of economic growth in the third quarter, which saw GDP grow at a torrid pace of over 7%. After that, we settled into that 2-year stretch of steady and health 3-4% growth. Given the empirical data available about the benefits of lower tax rates on economic activity, not to mention job creation, making existing tax rates permanent should not be a partisan political issue. At least, Republicans should want to make that happen.
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Your God's assistant secretary of the treasury begs to differ:
*"If you are worried about terrorists, you don't know what worry is. Job growth over the last five years is the weakest on record. The US economy came up more than 7 million jobs short of keeping up with population growth."
*"The declines in some manufacturing sectors have more in common with a country undergoing saturation bombing during war than with a super-economy that is 'the envy of the world.'"
*"The knowledge jobs that were supposed to take the place of lost manufacturing jobs in the globalized "new economy" never appeared."
*"Offshore outsourcing and offshore production have left the US awash with unemployment among the highly educated."
"At a time when America desperately needs the voices of educated people as a counterweight to the disinformation that emanates from the Bush administration and its supporters, economists have discredited themselves. This is especially true for 'free market economists' who foolishly assumed that international labor arbitrage was an example of free trade that was benefitting Americans."
"Polls indicate that the Bush administration is succeeding in whipping up fear and hysteria about Iran. The secretary of defense is promising Americans decades-long war. Is death in battle Bush's solution to the job depression? Will Asians finance a decades-long war for a bankrupt country?"
Enjoy! I know I sure don't--I'm not rich enough to get that tax cut you all love so dearly.
Posted by: SeesThroughIt at February 22, 2006 10:53 AM




