In this issue

Jonathan Tobin: Defending the Right to a Jewish State

Heather Hale: Compliment your kids without giving them big heads

Megan Shauri: 10 ways you are ruining your own happiness

Carolyn Bigda: 8 Best Dividend Stocks for 2015

Kiplinger's Personal Finance editors: 7 Things You Didn't Know About Paying Off Student Loans

Samantha Olson: The Crucial Mistake 55% Of Parents Are Making At Their Baby's Bedtime

Densie Well, Ph.D., R.D. Open your eyes to yellow vegetables

The Kosher Gourmet by Megan Gordon With its colorful cache of purples and oranges and reds, COLLARD GREEN SLAW is a marvelous mood booster --- not to mention just downright delish
April 18, 2014

Rabbi Yonason Goldson: Clarifying one of the greatest philosophical conundrums in theology

Caroline B. Glick: The disappearance of US will

Megan Wallgren: 10 things I've learned from my teenagers

Lizette Borreli: Green Tea Boosts Brain Power, May Help Treat Dementia

John Ericson: Trying hard to be 'positive' but never succeeding? Blame Your Brain

The Kosher Gourmet by Julie Rothman Almondy, flourless torta del re (Italian king's cake), has royal roots, is simple to make, . . . but devour it because it's simply delicious

April 14, 2014

Rabbi Dr Naftali Brawer: Passover frees us from the tyranny of time

Greg Crosby: Passing Over Religion

Eric Schulzke: First degree: How America really recovered from a murder epidemic

Georgia Lee: When love is not enough: Teaching your kids about the realities of adult relationships

Cameron Huddleston: Freebies for Your Lawn and Garden

Gordon Pape: How you can tell if your financial adviser is setting you up for potential ruin

Dana Dovey: Up to 500,000 people die each year from hepatitis C-related liver disease. New Treatment Has Over 90% Success Rate

Justin Caba: Eating Watermelon Can Help Control High Blood Pressure

The Kosher Gourmet by Joshua E. London and Lou Marmon Don't dare pass over these Pesach picks for Manischewitz!

April 11, 2014

Rabbi Hillel Goldberg: Silence is much more than golden

Caroline B. Glick: Forgetting freedom at Passover

Susan Swann: How to value a child for who he is, not just what he does

Cameron Huddleston: 7 Financial Tasks You Should Tackle Right Now

Sandra Block and Lisa Gerstner: How to Profit From Your Passion

Susan Scutti: A Simple Blood Test Might Soon Diagnose Cancer

Chris Weller: Have A Slow Metabolism? Let Science Speed It Up For You

The Kosher Gourmet by Diane Rossen Worthington Whitefish Terrine: A French take on gefilte fish

April 9, 2014

Jonathan Tobin: Why Did Kerry Lie About Israeli Blame?

Samuel G. Freedman: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Jessica Ivins: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Kim Giles: Asking for help is not weakness

Kathy Kristof and Barbara Hoch Marcus: 7 Great Growth Israeli Stocks

Matthew Mientka: How Beans, Peas, And Chickpeas Cleanse Bad Cholesterol and Lowers Risk of Heart Disease

Sabrina Bachai: 5 At-Home Treatments For Headaches

The Kosher Gourmet by Daniel Neman Have yourself a matzo ball: The secrets bubby never told you and recipes she could have never imagined

April 8, 2014

Lori Nawyn: At Your Wit's End and Back: Finding Peace

Susan B. Garland and Rachel L. Sheedy: Strategies Married Couples Can Use to Boost Benefits

David Muhlbaum: Smart Tax Deductions Non-Itemizers Can Claim

Jill Weisenberger, M.S., R.D.N., C.D.E : Before You Lose Your Mental Edge

Dana Dovey: Coffee Drinkers Rejoice! Your Cup Of Joe Can Prevent Death From Liver Disease

Chris Weller: Electric 'Thinking Cap' Puts Your Brain Power Into High Gear

The Kosher Gourmet by Marlene Parrish A gift of hazelnuts keeps giving --- for a variety of nutty recipes: Entree, side, soup, dessert

April 4, 2014

Rabbi David Gutterman: The Word for Nothing Means Everything

Charles Krauthammer: Kerry's folly, Chapter 3

Amy Peterson: A life of love: How to build lasting relationships with your children

John Ericson: Older Women: Save Your Heart, Prevent Stroke Don't Drink Diet

John Ericson: Why 50 million Americans will still have spring allergies after taking meds

Cameron Huddleston: Best and Worst Buys of April 2014

Stacy Rapacon: Great Mutual Funds for Young Investors

Sarah Boesveld: Teacher keeps promise to mail thousands of former students letters written by their past selves

The Kosher Gourmet by Sharon Thompson Anyone can make a salad, you say. But can they make a great salad? (SECRETS, TESTED TECHNIQUES + 4 RECIPES, INCLUDING DRESSINGS)

April 2, 2014

Paul Greenberg: Death and joy in the spring

Dan Barry: Should South Carolina Jews be forced to maintain this chimney built by Germans serving the Nazis?

Mayra Bitsko: Save me! An alien took over my child's personality

Frank Clayton: Get happy: 20 scientifically proven happiness activities

Susan Scutti: It's Genetic! Obesity and the 'Carb Breakdown' Gene

Lecia Bushak: Why Hand Sanitizer May Actually Harm Your Health

Stacy Rapacon: Great Funds You Can Own for $500 or Less

Cameron Huddleston: 7 Ways to Save on Home Decor

The Kosher Gourmet by Steve Petusevsky Exploring ingredients as edible-stuffed containers (TWO RECIPES + TIPS & TECHINQUES)

Jewish World Review May 11, 2006 / 13 Iyar, 5766

The supply-side miracle continues

By Bob Tyrrell

Printer Friendly Version
Email this article

http://www.JewishWorldReview.com | It is very reassuring that Republican negotiators in the House and Senate have reached an agreement to extend President George W. Bush's cuts in tax rates on dividends and capital gains. Equally reassuring, the negotiators plan to liberate as many as 15-million middle-income Americans from the impending burden of the alternative minimum income tax. Now the unparalleled economic growth that has characterized the American economy since the early 1980s can proceed. My only question is why?

Why did the Republicans extend these tax cuts? Many of them are the same solons who offered the embarrassing quackery of a $100 rebate to ameliorate the burden of high oil prices. I doubt that politicians who think a $100 rebate is a sound economic response to an oil price increase reflecting the scarcity of oil really understand the value of marginal tax cuts. They put me in mind of President Jimmy Carter offering Americans rebates as a response to his opponent's offer of tax cuts in the 1980 presidential race. Such politicians have enjoyed enormous economic growth since the Regan tax cuts that followed his election but apparently do not know where the growth comes from.

We saw the growth rev up again early in the Bush administration following his tax cuts, the tax cuts that have now been extended. The president says we cut taxes to "put money into the tax payers' pockets." But there is more to it. We cut taxes to increase economic activity, to reduce the burden of taxation on workers to encourage their increased output. We cut taxes on investments, stocks and dividends to increase investments, stocks and dividends — to increase wealth. That is what has been happening — FOR TWO DECADES.

Democrats — and I fear many Republicans — think we cut taxes to reward the rich. Democrats would raise taxes to punish the rich and to increase tax revenue for their favorite projects. Perhaps they could find some other way to punish the rich. Their demagoguery impedes economic growth and — as their phrase has it — "revenue enhancement."

Those of us who favor tax cuts can now look proudly at the recent record of tax payments. According to the Treasury Department's monthly report, tax receipts were up 11.2 percent for the first seven months of Fiscal 2006. That is $137 billion. In Fiscal 2005 tax receipts were up 14.6 percent, which is $274 billion. These increases come as a great surprise to those Democrats and Republicans who insist tax cuts cause deficits. Holed up over at the Congressional Budget Office (CBO), their minions issue predictions of puny revenue growth following tax cuts that are always gloomy and always wrong. The CBO's recent predictions for Fiscal 2006 were $76 billion for the whole year for individual tax receipts and $24 billion for corporate receipts. Seven months into the year the respective figures are already $56 billion and $40 billion.

Unburdened by high taxes, the rich paid more in taxes. By lowering marginal tax rates we have encouraged economic vigor and put more money in the government's hands. This we call Supply-Side Economics. Yet many Republicans remain agnostic, and many more Democrats are contemptuous of it. This is a cultural problem. In the culture of economic ideas many on Capitol Hill will not look at the evidence of the past two decades. They are living in an era of great prosperity and do not know how they arrived at it.

There is a bigotry against the term Supply-Side Economics. That is the only way to explain it. The prejudices of those who for decades have believed that what is best for society is a government that taxed and spent restrain them from reviewing the mounting evidence to the contrary. Prejudice and bigotry are not all that unusual in the human condition. In modern governance, however, it is unusual to see an orthodoxy remain influential so long after it has been proven false. That the orthodoxy of tax and spend is still dominant on Capitol Hill I have no doubt. This is why for me the Republicans' extension of these tax cuts is a kind of miracle.

Every weekday JewishWorldReview.com publishes what many in in the media and Washington consider "must-reading". Sign up for the daily JWR update. It's free. Just click here.

JWR contributor Bob Tyrrell is editor in chief of The American Spectator. Comment by clicking here.


© 2006, Creators Syndicate