You wouldn’t know it by listening to congressional Democrats, but the Republican tax reform bill helps the middle-class and blue-collar workers first by directly cutting their taxes. Speaker Paul Ryan reports that, under the bill, a family of four earning the median income of $73,000 will get a tax cut of $2,059 which comes in part by doubling the standard deduction to $24,000 for families and the child tax credit to $2,000.
Lewis K. Uhler and Peter J. Ferrara | All Articles
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Lewis K. Uhler and Peter J. Ferrara
Lew Uhler is the Founder and Chairman of the National Tax Limitation Committee, and the National Tax Limitation Foundation (NTLF). Peter Ferrara is a Senior Policy Advisor to NTLF and a Senior Fellow at the Heartland Institute. He is the author of the recent Power to the People: The New Road to Freedom and Prosperity for the Poor, Seniors and Those Most In Need of the World’s Best Health Care, published by Heartland.
In 1981, President Reagan led the enactment of a 25% across the board cut in federal income tax rates, which bean counters scored as producing a 25% cut in federal income tax revenues. But starting in late 1982, the economy took off on a 25-year economic boom. Total federal revenues surged, doubling during the first 7 years of the boom alone.
Republicans have not done a good job explaining their Obamacare Liberation bill to the American people. But the Republican bill would actually be far better for the middle class, working people, and the poor than Obamacare.
Last month, when House Republicans passed legislation to repeal and replace Obamacare, Democrats broke out in song and dance on the House floor, serenading Republicans for their successful vote with the words from a famous song, “Nah Nah Nah Nah, Hey Hey, Goodbye.”
Milton Friedman, the greatest economist of the 20th century, was the first to notice this historical pattern of the U.S. economy – the deeper the recession the stronger the recovery. That is because the U.S. economy grows faster than normal for a while to catch up to where it would have been without the recession.
Obamacare requires insurers to cover all pre-existing conditions and to issue health insurance to anyone who applies, no matter how sick they are when they first apply or how costly they may be to cover. This policy is known as guaranteed issue.
The national media – predictably - focused on the bad news for the GOP in the Congressional Budget Office (CBO) “score” of the Obamacare replacement bill: a predicted increase of 24 million uninsured after a decade.
Addressing a joint session of Congress on February 28, President Trump charted his path to restoring booming economic growth -- major tax reform, repeal/replacement of Obamacare, massive deregulation and more.
The components of the Republican Plan to replace Obamacare are already in clear public view, waiting to be boldly promoted. Central to developing that plan has been House Speaker Paul Ryan, who appointed a House Task Force on health reform early last year, which issued a report proposing a comprehensive replacement plan last June.
Michael Moore is 62 years old, but he has the mind of an adolescent. He is carrying out a campaign calling for 100 Days of Resistance to Trump. But he is delusional, claiming he and his progressives won the Presidency. What we see is that he wants to lead a revolution for the fun and romanticism of it.
The central theme of Trump’s Inaugural Address was that he is going to keep his campaign promises and follow through on his rhetoric. “January 20, 2017 will be remembered as the day the people became the rulers of this nation again,” he said. “The forgotten men and women of our country will be forgotten no longer.”
The president elect has been pursuing an “all-star” cast for his cabinet. Most of us can’t believe how focused, dedicated, competent and committed these people are to good policy and streamlined government, as well as to restoration of constitutional discipline and separation of powers, not to mention common sense and family values.
It was a natural “thank you” to Indiana supporters when, as part of his recent “victory tour”, President-Elect Donald Trump “convinced” Carrier Corporation (and United Technology) corporate leaders that they ought to keep 1,000 or so air conditioner manufacturing jobs in Indiana rather than ship them off to Mexico.
While President-Elect Donald Trump was blazing a new electoral trail for Republicans, few noticed that Speaker Paul Ryan was organizing his House Republican majority to blaze new policy trails. Earlier this year, Ryan appointed 6 policy task forces of Republican Congressmen, which this summer produced reports on their respective policy areas.
Few people understand that Trump’s tax reform plan builds on the House Republican Task Force appointed by House Speaker Paul Ryan earlier this year, and chaired by chief House tax writer Ways and Means Committee Chairman Kevin Brady (R-TX). That means it arises from mainstream Republican tax policy architects.
Sharply reducing income tax rates was the first step in Reagan’s economic recovery plan, which produced a record 25 year economic boom, from late 1982 to late 2007. As Art Laffer and Steve Moore wrote in their 2008 book, The End of Prosperity,
The next president is likely to appoint as many as half the members of the United States Supreme Court. Besides the vacant Scalia seat, Justice Ruth Ginsburg is 83 and in poor health. Justice Anthony Kennedy is 80. Justice Stephen Breyer is 78. That is four out of nine. Obama’s Elena Kagan and Sonia Sotomayor will still be there to make it six out of nine.
For decades, Congress has been forfeiting, or intentionally delegating, to the president, the judiciary, and the fourth branch of government – the federal bureaucracy – its constitutional duties to make the laws and pay the bills of our nation. That must change.
They are back on the road together – Reps. [crscore]Paul Ryan[/crscore] and [crscore]Kevin McCarthy[/crscore] – the original “Young Guns” who helped transform the House of Representatives into an increasingly conservative body. This time they are promoting in the House of Representatives and nationwide a project to develop good policies and programs for America’s future in order to respond to the popular demand to restore American exceptionalism and to make the most of the majority they have created.