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April 9, 2014

Jonathan Tobin: Why Did Kerry Lie About Israeli Blame?

Samuel G. Freedman: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Jessica Ivins: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Kim Giles: Asking for help is not weakness

Kathy Kristof and Barbara Hoch Marcus: 7 Great Growth Israeli Stocks

Matthew Mientka: How Beans, Peas, And Chickpeas Cleanse Bad Cholesterol and Lowers Risk of Heart Disease

Sabrina Bachai: 5 At-Home Treatments For Headaches

The Kosher Gourmet by Daniel Neman Have yourself a matzo ball: The secrets bubby never told you and recipes she could have never imagined

April 8, 2014

Lori Nawyn: At Your Wit's End and Back: Finding Peace

Susan B. Garland and Rachel L. Sheedy: Strategies Married Couples Can Use to Boost Benefits

David Muhlbaum: Smart Tax Deductions Non-Itemizers Can Claim

Jill Weisenberger, M.S., R.D.N., C.D.E : Before You Lose Your Mental Edge

Dana Dovey: Coffee Drinkers Rejoice! Your Cup Of Joe Can Prevent Death From Liver Disease

Chris Weller: Electric 'Thinking Cap' Puts Your Brain Power Into High Gear

The Kosher Gourmet by Marlene Parrish A gift of hazelnuts keeps giving --- for a variety of nutty recipes: Entree, side, soup, dessert

April 4, 2014

Rabbi David Gutterman: The Word for Nothing Means Everything

Charles Krauthammer: Kerry's folly, Chapter 3

Amy Peterson: A life of love: How to build lasting relationships with your children

John Ericson: Older Women: Save Your Heart, Prevent Stroke Don't Drink Diet

John Ericson: Why 50 million Americans will still have spring allergies after taking meds

Cameron Huddleston: Best and Worst Buys of April 2014

Stacy Rapacon: Great Mutual Funds for Young Investors

Sarah Boesveld: Teacher keeps promise to mail thousands of former students letters written by their past selves

The Kosher Gourmet by Sharon Thompson Anyone can make a salad, you say. But can they make a great salad? (SECRETS, TESTED TECHNIQUES + 4 RECIPES, INCLUDING DRESSINGS)

April 2, 2014

Paul Greenberg: Death and joy in the spring

Dan Barry: Should South Carolina Jews be forced to maintain this chimney built by Germans serving the Nazis?

Mayra Bitsko: Save me! An alien took over my child's personality

Frank Clayton: Get happy: 20 scientifically proven happiness activities

Susan Scutti: It's Genetic! Obesity and the 'Carb Breakdown' Gene

Lecia Bushak: Why Hand Sanitizer May Actually Harm Your Health

Stacy Rapacon: Great Funds You Can Own for $500 or Less

Cameron Huddleston: 7 Ways to Save on Home Decor

The Kosher Gourmet by Steve Petusevsky Exploring ingredients as edible-stuffed containers (TWO RECIPES + TIPS & TECHINQUES)

Jewish World Review Jan. 14, 2009 / 18 Teves 5769

We've got to stop hacking away at the golden goose

By Jack Kelly

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http://www.JewishWorldReview.com | I've been opposed to Barack Obama's plans for a $775 billion "stimulus" package for three main reasons:


First, the stated purpose of the stimulus is to encourage consumer spending; that is to say, to do more of what got us into financial trouble in the first place. We've been living large on money borrowed chiefly from the Chinese. That gravy train has lurched to a halt. We need to live within our means. That means saving money and paying down debt — the opposite of what the designers of the stimulus package want us to do.


Second, because about 60 percent of the stimulus package is a grab bag of spending on government construction projects, it cannot achieve the stated goal of boosting the economy in the short term, because it takes too long for the money to trickle in. Economist Bruce Bartlett published in the New York Times in January of last year a chart which indicated that in all eight post World War II recessions prior to this one, the government stimulus didn't take effect until after the recession ended.


Third, Mr. Obama proposes to spend money we don't have on projects of dubious value. The projected budget deficit for his first year in office is greater than the entire federal budget was just nine years ago. The money Mr. Obama proposes to borrow will have to be paid back, either through higher taxes or through devaluation of the currency through inflation, which would devastate the savings of industrious Americans, and discourage the foreign investment on which, alas, the health of our economy now largely depends.


I'm not as hostile to public works projects as are many other conservatives. They've been the most economically beneficial form of government spending. Some — like the Erie Canal and the hydroelectric projects in the Hoover and FDR administrations — were vital to our nation's development. But the grab bag of spending on swimming pools and museums and other projects state and local governments don't want to spend their own money on is unlikely to provide lasting economic benefit.


About 40 percent of Mr. Obama's stimulus package would be tax cuts for individuals and businesses. These actually could provide stimulus, because the effects of tax cuts can be felt in the economy much faster than spending on public works. And because these would reduce the burdens on those who actually wealth in society, they'd be of greater long term benefit to the economy. But much of what Mr. Obama is calling a tax cut is camouflaged income redistribution. He would give income tax rebates to people who pay no income tax.


I've nothing but praise for Mr. Obama's proposals to reduce taxes on business. Companies would be permitted to write off losses faster, and would be encouraged plow more money back into investment, and to make new hires. Mr. Obama resisted offering breaks to companies which pay no corporate tax. I wish he'd done that with individuals, too.


So what would I do instead?


For short term economic stimulus, how about a six month holiday from paying payroll taxes? This would benefit every taxpayer, but those at the lower end of the scale proportionately more. And because businesses pay half the payroll tax, this would provide them with welcome relief.


The downside, of course, is this would hasten the impending bankruptcies of Social Security and Medicare, but these are still some years away.


For the longer term, we should reduce permanently the corporate income tax rate from 35 percent — currently the second highest in the world — to, say, 25 percent, and reduce the tax on capital gains. These would help businesses weather the recession, and encourage investment in them. Corporations are whipping boys in political rhetoric. But it is they which provide the jobs from which most of us obtain our livelihood, and it is from the private sector that tax revenue comes.


If business is sick, the economy can't be healthy. We've got to stop hacking away at the golden goose.

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JWR contributor Jack Kelly, a former Marine and Green Beret, was a deputy assistant secretary of the Air Force in the Reagan administration. Comment by clicking here.

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