Thursday, May 10, 2007

Democrat Doom

Didn't I make these same points the other day? I must have been reading "GOP talking points" that didn't exist yet. Kudlow is making some very good points, especially in the economic arena. Read, digest, and think.

Some excerpts:

Consider this: When the appropriate time comes for a gradual troop withdrawal from Iraq, the voting public is far more likely to want a tough-on-defense president to negotiate the event. Go all the way back to the Korean War. Voters selected Gen. Dwight D. Eisenhower to negotiate withdrawal, rather than the much more liberal Adlai Stevenson. Or recall that in 1968 voters chose the tough-minded Richard Nixon to manage a pullout from South Vietnam, rather than the fuzzy-thinking Hubert Humphrey.

...


Non-withheld income taxes -- read cap-gains, dividends and income from small owner-operated businesses -- hit a record high of $49 billion on April 24. So far this year, this tax-collection category has shot up 30 percent, while withheld income-tax collections at lower tax rates have jumped 17.5 percent.

In other words, the Laffer curve is working: Lower tax rates lead to higher tax revenues through a growing economy and a larger income base. By removing pro-growth tax cuts, the Democratic budget will actually slow the economy, diminish revenue growth and increase the out-year budget gap.

Ignoring all this, in addition to the reality of a 4.5 percent unemployment rate and Dow 13,000, is a Democratic triumph of liberal ideology over objective empirical analysis.

It's also a recipe for Democratic disaster about a year and half from now.

2 comments:

Anonymous said...

Kudlow's nothing but a pure quack now. There is a reason that Kramer went solo.

Gonzo said...

That may well be but I find it interesting comparing the Democratic policy trends with the economic numbers.