Reagan Had the Recipe for Success. Let’s Follow It, by Newt Gingrich, DECEMBER 29, 2011
“Recall that, just like President Obama, President Reagan inherited a terrible economy when he took office. But Reagan enacted historic income tax rate cuts, regulatory reforms and spending controls. The recession officially ended in November 1982, and in the following two and a half years the unemployment rate dropped 3.6 percentage points, more than eight million Americans went to work at new jobs, and the longest period of economic growth in American history commenced.
Mr. Obama’s policies have been just the opposite: trillion dollar stimulus-spending waste, a government takeover of the health-care system, an activist EPA attacking businesses, and demonization of job creators. The president barnstorms the country advocating tax increases for investors, entrepreneurs and small businesses, teeing up the country for another crash in 2013 when the Bush-era income tax rates expire. Meanwhile, America’s businesses continue to suffer from the highest business tax rate in the industrialized world, with no relief in sight.
This nightmare will not end until Reagan-era economic policies are restored: tax reform, a sound dollar and smarter regulations. If they are, within a year the American economy will take off on another historic boom.
First, we must reduce the federal business tax rate to 12.5%, eliminate the capital gains tax as a double tax on capital income, and eliminate the estate tax. We must allow immediate writing off the costs in one year for investment in capital equipment so American workers can continue to be the most productive in the world, using the latest and most advanced technology.
Second, the dollar needs to be stabilized by establishing a price rule for the Federal Reserve to follow in its conduct of monetary policy. This will help stabilize international exchange rates, resolve the ongoing cycles of global financial crises and investment bubbles, short-circuit the run-up in gas and food prices, and unlock the frozen credit system.
Third, the burden of regulatory costs on American businesses and consumers has to be lightened. Reflecting my unwavering opposition to cap and trade and any other form of tax on energy or carbon, we must replace the Environmental Protection Agency with an Environmental Solutions Agency. We must move from antigrowth confrontation with business to collaboration with job creators, states and local communities to achieve better results. We must repeal Dodd-Frank and its “too big to fail” big-bank bailouts, and repeal Sarbanes-Oxley, restoring Wall Street as the world’s pre-eminent equities market.
My economic plan includes sweeping entitlement reforms that would altogether cut federal spending in half over the long run, entirely solving the nation’s entitlement and fiscal crisis. Reforms include starting and then expanding personal savings, investment and insurance accounts until they ultimately finance all the benefits now financed by the payroll tax—and eventually displacing that tax entirely. The successful federal welfare reform of 1996 should be expanded to every federal means-tested welfare program, close to 200 or more, block-granting them to the states and ultimately saving trillions.
We also need an American Energy Plan, freeing the energy industry to maximize production of all forms of American energy, ensuring the reliable supply of low-cost gasoline, diesel, natural gas, coal and other energy sources essential to fueling a booming economy.
These policies will ignite another record-smashing, and world-leading, 25-year economic boom, restoring the American Dream and rebuilding the America we love.”
http://online.wsj.com/article/SB10001424052970203391104577124750153593854.html
“Reagan Had the Recipe for Success. Let’s Follow It, by Newt Gingrich, DECEMBER 29, 2011”
DAVID WASMUNDT wrote:
“When you read this fresh, concise synopsis of the vision and problem solving template of Newt Gingrich, you once again are reminded of why he is clearly the best candidate to deal with an increasing plethora of red alert problems that are facing this nation. That is unless you suffer from HASPEN (Hate All Smart People Especially Newt) syndrome.
Newt wasn’t given two days in the lead before a barrage of HASPEN types started foaming at the mouth while lustily taking bites out of Newt’s behinder. This mob included the socialist DEMS who were joined by Repub establishment “can’t we all just get along?” timid dupes, political pundits, jealous authors and sanctimonious conservative pharisee types. If Newt is so bad why didn’t they enlighten us before he convinced people by the power of his intellect that he was a man whose time may have come.”
Prentice Jones wrote:
“I think Newt is perfectly suited for the presidency. He is very smart, articulate, knowledgeable of the Washington swamp, and he is a patriot. The job of being president requires a person who can be confronted by lots of problems and have lots of ideas and solutions.
His record in the House was outstanding for getting things done, considering the extent of power of the good-ole-boy Republican establishment in the 90’s. I believe that Newt, on the job in the White House, would settle in to the tasks of getting the country out of the ditch; and, that job is now a crisis—big enough to need someone with lots of energy and ego and experience.
I think Gingrich would get much done and get the economy out of the doldrums faster; especially if some of the older Establishment Republicans are sent home in 2012.”