America’s economic strength lies in the productivity of the American people. If we’ll turn Americans loose with greater incentives to produce and invest, history shows our economy will come back strong and prosperity will return to our nation.
The incentives for increased production and investment in any economy are low taxes and a low cost of doing business. It just makes sense that people will work harder if they get to keep more of what they make. The less they get to keep, the less work they’ll want to do. The same principle applies to investors. When tax rates are low, people always work more and invest more. When rates are high, they work less and invest less.
Onerous government regulation raises business costs. Instead of producing goods and providing services, workers are diverted to non-productive activity complying with government paperwork and seeing that regulations are carried out. The less American businesses are regulated, the more than can produce with the workforce they employ.
More work, more investment, more productivity adds up to a booming American economy. The catalyst is increased economic freedom through low federal taxes and less federal regulation. The bonus for the government is surging federal revenues which can help pay down the national debt, but only if Congress quits spending so much money. Federal income taxes have been cut four times, and each time the economy has grown vigorously and tax revenues have expanded substantially. Tax cuts don’t increase the debt or cause deficits. Only runaway spending accomplishes that. Every dollar retained from tax cuts is either spent in the economy or invested, resulting in jobs and paychecks.
To provide incentive for Americans to work and invest more, across the board individual tax cuts should be implemented, U.S. corporate taxes – the second highest in the world – should be cut significantly, and capital gains taxes should be permanently lowered. Business should be able to write-off equipment purchases faster. Government regulation of business should be dramatically rolled back.
Simplified federal income tax rates of 10% and 25% would largely mirror President Regan’s 1986 rates (15% and 28%). President Reagan’s tax cuts in 1981 and 1986 were the impetus for nearly 25 years of American economic growth, and the creation of some 43 million new jobs, as Americans enjoyed an unprecedented era of prosperity.
Big government, higher taxes, and socialistic policies will only make us poorer in the long run. But if we take steps to lower taxes and reduce regulation, we’ll soon return to an expanding, job-creating American economy with work for everyone who wants it. Many who believe in big government will resist these measures.
We need conservative fighters in Congress who will get the job done. Help me join this fight to lower taxes, gut federal regulations, and bring back American economic prosperity in the United States House of Representatives.