SwiftVets.com

[Adrian Spidle]

Here's why the Bush Tax Cuts Create Jobs and Kerry Tax Cuts Don’t…

When you look at the graph of the value of a stock or the economic activity of an economy you will see that knowledgeable analysts break it down into short term fluctuations around long term trend lines. The short term fluctuations are noise and the trend lines are the real signal. The noise should be ignored and the signal is valuable information to be used in your planning. Modern Republican political speaking always has a much higher Signal to Noise Ratio than modern Democrat Political Speaking.

Trend lines can be up or down, a little or a lot. This characteristic of a trend line is its slope. Tax Rate Cuts increase the slope of long term trend lines, and permanently increase growth. The Reagan tax rate cuts are the real reason the US is so far ahead of the Euro Socialist nations in the wealth of its citizens as measured in GDP per capita.

Noise is all over the place and is fairly meaningless in the long run. Democrat political talking points are almost always noise. Because of this, the spouters of Democrat talking points almost never understand what they’re saying.

Proposed Democrat tax cuts (I say proposed because no Democrat has ever actually passed an income tax rate cut in 40 years although they’ve promised plenty) are always temporary give-aways to their upper, lower and no income constituents and are supposed to “stimulate” the economy when they are spent at McDonalds or Target. From a long term perspective these illusory Democrat promises are merely noise.

Republican tax cuts are real and actually do create jobs. Above all, Republican tax cuts are MARGINAL TAX RATE CUTS that increase the slope of the economy’s trend line. When individuals or companies plan future enterprises, the Marginal Tax Rate is always prominent in the Pro Forma they will use to determine whether the proposed enterprise is worth doing in the first place. If they decide to go ahead with a proposed job creating enterprise, the Pro Forma will be the tool they use to raise the necessary capital to start their new business (or division) that will create new jobs for America’s workers.

This is why the Republican passed low marginal tax rate United States of America is so much richer than the high marginal tax rate Euro socialist nations.

A VOTE FOR BUSH IS A VOTE FOR JOBS!

A vote for Kerry is a vote for noise.

Adrian the commonsense economist
Public Enquiry Project