Bush Touts His Economic Plan in Georgia

The Associated Press ^ | FEBRUARY 20, 2003 | SCOTT LINDLAW

[Willie Green]

For education and discussion only. Not for commercial use.

KENNESAW, Ga. (AP) — President Bush, on a day that new government reports documented a troubled economy, argued Thursday that his multibillion-dollar tax cut plan would significantly improve the business outlook.

Bush traveled to Georgia not only to tout his stimulus plan but to single out Sen. Zell Miller, the only Senate Democrat who has come out in support of his economic proposals.'

``I agree with Zell, with this economic theory that when a person has more money in his pocket, they're likely to demand that somebody produce them a good or a service,'' he said. Miller, who accompanied the president to the stage stood alongside, applauding Bush's remarks.

``The cornerstone of good economic policy recognizes the money in Washington, D.C. is not the government's money, it's the people's money,'' Bush said, ``and the more of it you have in your pocket, the more likely somebody's going to have a job.''

In introducing Bush, Miller did not specifically back Bush's tax cuts, although he called Bush a man ``of common sense'' and said one should ``not take money from the hard-earned taxpayer in the first place.''

Miller, however, has decided to the Democratic sponsor of a measure containing Bush's proposals, his aides and Bush said.

The $674 billion tax-cut package includes provisions to accelerate personal tax cuts approved in 2001, eliminate dividend taxes and create ``re-employment accounts'' to help the jobless.

Bush highlighted a new private-sector ``blue chip'' economic forecast projecting that the economy would grow in the fourth quarter of this year by 3.3 percent compared to the same period last year.

Bush emphasized a portion of the report suggesting that such a level of growth depended on swift passage of his proposed tax cuts.

By contrast, more than 400 economists, including 10 Nobel laureates, said last week that Bush's tax plan wouldn't help the ailing economy immediately. Instead, they predicted that it would create deeper deficits that could drive up long-term interests rates and jeopardize the economy down the road.

Three government reports Thursday cast doubt on the state of the recovery.

The number of newly laid off workers filing unemployment claims jumped to a seven-week high of 402,000 last week; the United States recorded the largest trade deficit in history, $435.2 billion, and inflation shot up by 1.6 percent in January, the biggest increase in 13 years.

And the private Index of Leading Indicators was flat in January, pausing after three straight months of gains, an industry group reported Thursday.

Bush's motorcade passed several clusters of waving and cheering supporters, some holding large American flags. One group of about two dozen people held signs supporting the administration's Iraq policies. One sign said ``Give War a Chance,'' another said ``Disarm Saddam.''

Several clusters of anti-war protesters lined roads leading into Bush's appearance. One sign read ``Speak softly and put down the big stick.''

The Democrats who want Bush's job have attacked the Bush plan, the latest blast coming from Rep. Dick Gephardt, who announced his candidacy for president Wednesday.

Gephardt and other Democrats, and even some Republicans say the nation cannot afford new tax cuts at a time when it has returned to budget deficits.

Fueling that debate, Bush was reluctantly signing a budget measure Thursday authorizing $397.4 billion financing every agency except the Pentagon for the 2003 budget year that began Oct. 1. The package contains billions of dollars Bush had not initially sought for farm aid, highway construction, doctors and hospitals.

Bush tried to skirt a growing political controversy in Georgia over a proposal by Republican Gov. Sonny Perdue to ask voters whether to bring back the old state flag with its big Confederate emblem.

Bush tried to stay out of a similar controversy during his own campaign in 2000, saying the matter was a state issue. It is a delicate political issue for the president, who needs to maintain his strong support in the South to win re-election. Many rural whites oppose getting rid of the Confederate emblem.

Bush's spokesman strove Thursday to shield the president from the new debate. ``As a matter of principle, the president believes it's an issue for the people of Georgia to decide,'' Ari Fleischer said.

[Willie Green]

``I agree with Zell, with this economic theory that when a person has more money in his pocket, they're likely to demand that somebody produce them a good or a service,'' he said.

Bush ignores the economic reality that undermines his economic "stimulus" plan: U.S. trade deficit hit record $435.2 billion in 2002

Any "trickle down effect" normally associated with tax cuts is quickly diverted overseas.
American taxpayers are subsequently mired deeper in debt. Government Hits $6.4 Trillion Debt Limit

Dubya's lack of fiscal responsibility will weaken our nation and lead to his political defeat in 2004.

[kaktuskid]

What do you want to do MickeyRail boy???Raise them???
Hurting your precious MoronRail project??

[Diddle E. Squat]

Thanks for recognizing the need for fiscal responsibility. Thus I trust you now agree that monorail and maglev trains are expensive boondoggles that we can't afford to waste limited gov't revenues on.

Agreed?

[Willie Green]

Thus I trust you now agree that monorail and maglev trains are expensive boondoggles that we can't afford to waste limited gov't revenues on.

Not at all.

The Road to Productive Wealth

The only true key to wealth lies in production. While you can increase your own wealth at the expense of others, we all become wealthier when productive resources are increased. Greater wealth for our economy lies in increasing the quantity or quality of productive resources -- labor, capital, and natural resources. This is done by investing in education, capital goods, research and development, and technology.

Investment in Maglev and High-Speed rail would develop our long-term national transportation infrastructure. And the resultant improved efficiency would promote commerce and expansion of the tax base.

Investment in infrastructure provides direct "trickle down" economic stimulus: Jobs for the domestic companies and employees that build the infrastructure, and tangible long term benefits for the taxpayers who use the infrastructure for decades to come.

Hoover Dam is an excellent example of government infrastructure investment.

[ItsTheMediaStupid]

Any "trickle down effect" normally associated with tax cuts is quickly diverted overseas. American taxpayers are subsequently mired deeper in debt. Government Hits $6.4 Trillion Debt Limit

Hey I pay down some debt each time I get my tax refund. A bigger tax cut is a bigger refund and the less I am in debt. Seems pretty simple to me. As to the trade deficit, if they would allow those illegals to work here legally WITHOUT RECIEVING WELFARE AND FREE MEDICAL. We could compete with China to produce cheap goods.

[Willie Green]

Hey I pay down some debt each time I get my tax refund. A bigger tax cut is a bigger refund and the less I am in debt. Seems pretty simple to me.

Your personal debt is different than the National Debt.
Your share of the National Debt is $22,178.02. (U.S. NATIONAL DEBT CLOCK)
If you're married, your wife owes the same amount.
If you have children or other dependents, they each owe the same amount as well.

[ItsTheMediaStupid]

So? That's way less than my personal debt. Anyone who has a house knows that. Sounds pretty manageable to me. Reducing my tax's will grow the economy, which will raise my salary, which will increase my tax's!

[Willie Green]

I guess you simply don't understand that the "trickle down effect" is misdirected overseas by the trade deficit rather than growing our domestic economy.

[ItsTheMediaStupid]

Gee, as I recall even you don't seem to be stating that 100% of trade goes overseas. Plenty of money to trickle down here. Not sure that the money trickling down though the global economy is a bad thing either!

[Willie Green]

The Trade Deficit has increased by 21.4% over last year, and close to 1100% over the last 10 years.

[ItsTheMediaStupid]

So what! Till recently it has made little differance in unemployment! Obviously there is something wrong with the figures, or there is more employment in foreign trade than one would think. IMO its a bunch of sociallist crock!

[Glenn]

Dubya's lack of fiscal responsibility will weaken our nation and lead to his political defeat in 2004.

I agree. This is lunacy. Without appropriate spending cuts, tax cuts are nothing but pure debt. I would like more money in my pocket, but not if it means they'll have to take twice that amount out in a few years to service the debt.

[Moonman62]

Investment in infrastructure provides direct "trickle down" economic stimulus: Jobs for the domestic companies and employees that build the infrastructure, and tangible long term benefits for the taxpayers who use the infrastructure for decades to come.

Provided that the infrastructure isn't subsidized and shows some kind of profit, I would agree, however that's almost never the case with government projects (see Boston's "Big Dig").

[Willie Green]

See Hoover Dam.