June 11, 2011

TAXES, UNIONISM, AND INFLATION ARE TOO BEATEN DOWN TO APE REAGAN MUCH...:

Pawlenty Emerges From GOP Pack With a Plan in the Reagan Mold (LAWRENCE KUDLOW, June 11, 2011, NY Sun)

The Wall Street Journal editorial page calls it a “growth marker.” Famed CEO Jack Welsh calls it a vision for America. I think it’s an act of great leadership.

The details of Mr. Pawlenty’s economic program are similar in scope and structure to Reagan’s. Slash tax rates. In particular, the single-best Pawlenty proposal is to take the business tax rate all the way down to 15% from 35%, get rid of all the deductions, and quit taxing foreign earnings of American companies. Critically, he would make small-business S-Corps or LLC partnerships eligible for the new low corporate rate.

Small businesses and brand-new start-ups have faltered during the Obama years. They should be the engine of job growth, but it’s not happening. Under Mr. Pawlenty’s plan, however, their rewards for new pass-the-hat investments among friends and families would be lifted by more than 40% on a take-home-pay basis.

The former college hockey player also would reform the personal tax system by moving to two rates of only 10% and 25%. And, get this: He would abolish taxes on capital gains, interest, dividends, and estates. He’d also sunset all economic regulations. And he’d apply a “Google test,” whereby if you can find a federal government good or service on the Internet, the federal government doesn’t need to run it. That means the Post Office, the Government Printing Office, and Amtrak could be sold off, privatized, or leased out.

The governor also comes out for a strong King Dollar, with a blistering attack on the Bernanke Fed’s loose-money policies. He also offers up an outline for entitlement reform, along with a 5% budget-impoundment approach until such time as the budget is balanced.

Quintessentially, Tim Pawlenty has delivered a private-sector, free-enterprise vision of economic growth and jobs, saying: “Markets work. Barack Obama’s central planning doesn’t.” It’s in this spirit that he would repeal Obamacare, which is one of the greatest job-blockers of all right now, with its maze of tax-and-regulatory interventions into the private economy.


...but adopting his free trade stance and immigration amnesty would help.


Posted by at June 11, 2011 4:57 PM
  

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