Suggested Economic Policies for Growth, Jobs, and Prosperity.

I was challenged by one of my favorite Democratic friends to explain what I would do to help restore economic prosperity and to restore jobs since I ran for U.S. Congress.  I don't expect agreement on my plan, but, here it is.

There is nothing more important to this country right now than ending our unemployment crisis. Since 2007, we have attempted to “create or save” jobs with bailouts, bureaucracy, and billions in wasteful spending. None of it has worked. Economic freedom and prosperity go hand in hand, so it should be no surprise that big government has failed to produce the kind of economic growth that would result in millions of new jobs.

Supply-side economics policies are key to prosperity! In the long run, our income levels reflect our ability to produce goods and services that people value, right here at home.  Therefore, higher income levels and living standards cannot be achieved without expansion in output from production or services. 

The more jobs created by the private sector, the less a worker must rely on the government, thus reducing the nearly 62% of the money our federal budget allocated to entitlements in 2012, which is financed mostly by borrowing.

Americans did not build the largest economy in the world because the federal government told us to do so. The best job creation policy Washington could pursue would be to get out of the way and to allow the private sector expand without punishing success. 

The federal government needs to get out of the way of energy companies that would move us towards energy independence.  It needs to get out of the way of small business owners who must fight through thousands of pages of regulations without an army of lawyers to help. Also it needs to get out of the way of the $1.4 trillion in foreign profits that could be brought into the domestic economy if doing so was not so expensive.

I support policies that will end the federal government’s attempts to micromanage the states and the economy. Below is one set of such policies:

A balanced budget amendment would limit the ability of Washington to raise taxes to pay for runaway spending, providing job creators with the certainty that Washington will not continue to grow unchecked thus fueling job creation.

Give the President the statutory line-item veto authority to reduce wasteful spending. This is an important tool to ensure that tax dollars are spent wisely and efficiently. Congress would vote up-or-down on proposed spending cuts.

A simplified tax system will keep more money in the hands of consumers, small businesses and job-creators. Reduce individual income tax rates to a maximum of 25 percent no more than three marginal rates.

Reduce the top corporate tax rate to no more than 25%.  Capital gains should not be taxed, but the profits should be allowed to be reinvested in the business, thus allowing for growth, expansion and hiring.

Our current corporate tax code is outdated and is a major reason why there is up to $1.4 trillion in foreign earnings trapped overseas in countries where U.S.-based multinational companies do business. Under a reformed territorial system of corporate taxation, this plan would create a permanent incentive for companies repatriating foreign earnings to the U.S. economy.

Repealing and replacing Obamacare will remove over $550 billion in new taxes, over $300 billion in higher health care costs, and $2,100 in increased family insurance premiums from employers and workers. The job-destroying policies of Obamacare are estimated to cost the economy at least 800,000 jobs and hit small businesses especially hard.

We need to lift the burdens the Dodd-Frank bill placed on community banks and the small businesses that depend on them for financing, from oppressive new regulations to the resulting uncertainty that prevents growth. Research compiled by the Financial Services Round-table indicates that the cumulative weight of new financial rules, from Dodd-Frank to similar efforts abroad, could cost the U.S. economy 4.6 million jobs by 2015.  I personally went to Washington D.C. to ask Senators Alexander and Corker to vote against it, but they ignored me.

Our currency has been debased as a result of the policies put in place since 2007 due to the endless borrowing.  “Endless borrowing and the interest we must pay on that borrowing is destroying America.

A strong economic policy should focus on reducing the growth of government spending, reduce income tax and capital gains tax, reduce government regulation of economy, and control money supply to reduce inflation and promote more supply-side production of goods and services in the United States.

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