“[A] wise and frugal government … shall restrain men from injuring one another, shall leave them otherwise free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned. This is the sum of good government.” –Thomas Jefferson
“The state tends to expand in proportion to its means of existence and to live beyond its means, and these are, in the last analysis, nothing but the substance of the people. Woe to the people that cannot limit the sphere of action of the state! Freedom, private enterprise, wealth, happiness, independence, personal dignity, all vanish.” –French economist Frederic Bastiat (1801-1850)
“Don’t ever let anyone tell you that history doesn’t repeat. For 70 years, liberals have been spinning the yarn that FDR’s New Deal, despite all the evidence that it exacerbated and prolonged the Great Depression, quickened our economic recovery. Indeed, I remember scratching my head when one of my college history professors in the 1970s tried to convince us of that theory and its corollary — an even better howler — that FDR was actually a conservative, because if he hadn’t implemented his socialist programs, the republic would have died right there.” –columnist David Limbaugh
|Is Inflation Avoidable? | 2/24/2010Inflation, potentially rapid inflation, is knocking on the door. Will the Federal Reserve let it in?
Will the Fed Nix Inflation in Time?
Difficult Exit Strategy
|A No-Cost Stimulus Plan | 2/19/2010Congress should promote entrepreneurship and investment with a no-cost stimulus that would create jobs without adding to the deficit.
It Would Spur Business Hiring
Creating Real Jobs
February 22, 2010 05:57 PM by Michelle Malkin
Attempts to control prices by government fiat ignore basic economic laws — and the result could be disastrous for the American health care system, says health economist Michael Tanner…
Breaking down state barriers and allowing consumers to choose from thousands of insurance plans would cut health care costs by 5 percent and save the federal government at least $12 billion, according to the Congressional Budget Office…
U.S. CHAMBER OF COMMERCE
Both the House and Senate reform bills appear to be based on a fundamental misunderstanding of the basic factors driving health care spending upward. As a result, the bills would drive spending upwards instead of downward, say Dr. Jason Fodeman, an Internal Medicine Resident at the University of Connecticut, and Robert A. Book, a health economist with the Heritage Foundation…
WALL STREET JOURNAL
Campaign contributions from trial lawyers have exceeded those of every other industry over the last two decades, according to James R. Copland, Director of the Center for Legal Policy at the Manhattan Institute…
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Not So Fast! | by William L. Anderson
Or is there a sure way out?
The current downturn, even if the recession “officially” is over, is beginning to look like a reply of the 1930s. In fact, the “Progressive” Atlantic recently ran a most depressing story about what happens as joblessness becomes institutionalized:
The worst effects of pervasive joblessness—on family, politics, society—take time to incubate, and they show themselves only slowly. But ultimately, they leave deep marks that endure long after boom times have returned. Some of these marks are just now becoming visible, and even if the economy magically and fully recovers tomorrow, new ones will continue to appear. The longer our economic slump lasts, the deeper they’ll be………..more….
Gregg, Wyden Offer Plan to Simplify U.S. Tax Code
By PATRICK YOEST
WASHINGTON—Two senators Tuesday introduced a proposal to vastly simplify the nation’s tax code by cutting the number of income tax brackets in half and flattening the corporate tax rate.
The plan put forth by Sens. Judd Gregg (R., N.H.) and Ron Wyden (D., Ore.) would lower the number of marginal income tax rates to three: 15%, 25% and 35%. It also would eliminate the alternative minimum tax, which lawmakers scramble to “patch” each year in order to minimize its impact on middle-income taxpayers.
The plan would create a single corporate income tax rate of 24%, but allow small businesses with receipts of up to $1 million to expense all of its equipment and inventory costs.
The plan would target “direct payments and indirect subsidies to businesses each year,” but would leave it to the nonpartisan Congressional Budget Office to identify “the least productive” of those subsidies. Politically, that would be a tough task, as lawmakers fiercely guard subsidies that benefit their states and districts.
President Barack Obama has also called for tax simplification, and last year he tapped former Federal Reserve chairman Paul Volcker to head a task force on the issue. That task force hasn’t issued any recommendations, however.
In a statement, Messrs. Gregg and Wyden said they were aiming to alleviate the headache the tax code causes individuals and businesses trying to sort through its minutiae.
“For far too long, our tax system has been overly complicated, burdensome and unfair to taxpayers and to small businesses that are the economic engines of our nation,” Mr. Gregg said in a statement.
Messrs. Gregg and Wyden assert that the average individual or family earning less than $200,000 would do “as well or better” under their plan than current tax law, in large part because the plan would nearly triple the standard deduction.
“Many taxpayers who currently itemize will find it more advantageous to switch to the standard deduction which will both reduce their tax bills and eliminate the burden of maintaining records and receipts needed to document itemized deductions,” the plan states. Most taxpayers would be able to use a one-page form to submit their taxes, according to Messrs. Wyden and Gregg.
The capital gains tax also would see broad changes under the plan. The legislation would exempt the first 35% of capital gains income from the tax. Also, the first $500,000 of investment would be held for at least six months to be considered long-term capital gains income, and the next $500,000 would have to be held for a year to be considered long-term.
Write to Patrick Yoest at firstname.lastname@example.org
Dear FairTax Supporter,
We urge you to sign the Petition to the House Committee on Ways and Means demanding that they hold a hearing on your FairTax Bill in Congress. There is no cost, it is free. Signing the Petition requires less than 60 seconds and very little effort.
More than 60 Senators and Members of the House of Representatives are sponsoring your FairTax Bill in Congress this year. Because of work to put our campaign on a stronger footing, that number will grow this year.
Last September your FairTax Organization launched the FairTax National Victory Campaign. The purpose, spelled out in numerous communications since then, is to take our campaign right into the Halls of Congress–with the help of a millions of Americans citizens demanding change.
In these exciting six months, we have recruited more support to the FairTax cause (by far) than in any similar period on our history. Our strength is growing across the country because we have been able to reach out to people who never heard of the FairTax before but who like what they’ve heard from us.
That’s good news because the plain fact is: we need millions of Americans to carry this message to Congress and we need a “war chest” to fund education and recruitment efforts to transform our “good idea” campaign into a powerful “must do idea” national movement.
We have raised more money from thousands of new investors—far more than ever before. We have used these investments to recruit new supporters with direct mail, radio, and millions of emails. We have funded a 30-minute television program that promises an even larger, broader citizen base of support for this critically needed change to our broken tax system.
In short, we are on the move to bring the FairTax into every household and build the citizen base that is needed to win. It’s how we get it done. Together and on our way to a powerful national voice that cannot be ignored.
Significantly, we have collected many thousands of Petitions demanding a hearing at the Ways and Means Committee of your FairTax Bill.
But your name or the name of someone you know needs to be added.
In the middle of this month we will be launching an exciting new program leading up to Tax Day which we believe will enable us to recruit tens of thousands of new supporters to our cause.
I have to believe that you understand how important the FairTax is to the future of our great country. Or, maybe you are unhappy with the direction of our national campaign or somehow offended by our zeal in raising the funds needed to win passage of your FairTax Bill in Congress. The FairTax belongs to it’s supporters, people like you, and I really want to understand if we need to change something to earn your active support.
And, right now, if you are ready to help save our country, do something which costs you nothing and takes but a few seconds, and which could make all the difference in the world–please at least sign the on-line petition calling on the Ways and Means Committee to hold a hearing by April 15 Tax Day on your FairTax Bill now in Congress. Add your voice to our growing chorus of Americans determined to win passage of HR25, your FairTax Bill in Congress.
It is one more important way to show your support to Congress–and that is, after all, where the “rubber meets the road” for the FairTax. Please help.
Most urgently yours,
Ken Hoagland, Chairman
FairTax National Victory Campaign
Earlier this month, Bernanke timidly raised the Fed discount rate by 0.25%.
In our opinion, it’s too late. The damage is done. When the Fed lowered interest rates to record lows an inflation monster was unleashed.
Reining it in will be nearly impossible.
Recently, a trio of authors penned a book revealing the financial aftershock that is about to hit America.