Wednesday, April 25, 2007
The Historical Lessons of Lower Tax Rates
Sooner or later; (perhaps later, considering the current economy), I figure the tax cut debate will return to the forefront...
At that time we can review this article by Daniel J. Mitchell, Ph.D. which includes this reminder:
"According to President John F. Kennedy:
Our true choice is not between tax reduction, on the one hand, and the avoidance of large Federal deficits on the other. It is increasingly clear that no matter what party is in power, so long as our national security needs keep rising, an economy hampered by restrictive tax rates will never produce enough revenues to balance our budget just as it will never produce enough jobs or enough profits… In short, it is a paradoxical truth that tax rates are too high today and tax revenues are too low and the soundest way to raise the revenues in the long run is to cut the rates now."
