Infinite Monkeys[cross-posted at RedBlueAmerica]
I suppose I was remiss, in discussing Paul's economic positions below, to fail to discuss his Economic Plan, given the congratulations that Congress and W. are bestowing on themselves for the sure-to-be-ineffective "stimulus plan" they just passed in a whirlwind.
In the press release for the plan, it is summarized by four points that could just as easily have been articulated by Reagan or Goldwater:
1. Tax Reform: Reduce the tax burden and eliminate taxes that punish investment and savings, including job-killing corporate taxes.
Of course, Paul's dream plan is to eliminate the IRS altogether, but the specific goal of stimulating the economy requires first and foremost the elimination of taxes on the development and expansion of capital. Larry Kudlow would be proud.
2. Spending Reform: Eliminate wasteful spending. Reduce overseas commitments. Freeze all non-defense, non-entitlement spending at current levels.
This is classic small-government Republicanism. And, by the way, a broad-based economic principle that ANY solvent institution, from the smallest family to the largest corporation, understands to be absolutely essential. Why shouldn't the government have to balance its budget just like the rest of us?
3. Monetary Policy Reform: Expand openness with the Federal Reserve and require the Fed to televise its meetings. Return value to our money.
Of course, this is code for "find a way to get back on the Gold Standard" - but it's more than that: An institution with as much control over the most fundamental instrument of the economy (the money supply) should not be able to operate shrouded in secrecy and without better public oversight. Right now, monetary policy is like alchemy. It needs to be reliable and accountable.
4. Regulatory Reform: Repeal Sarbanes/Oxley regulations that push companies to seek capital outside of US markets. Stop restricting community banks from fostering local economic growth.
The bitter taste of Enron is still on people's lips, but if we're going to be serious about long-term economic prosperity, we need to acknowledge that SarbOx and other massively restrictive regulatory policies were not only an over-reaction to what happened, the side-effects have had a significant negative effect on the whole economy. I say this as someone who actually BENEFITS from SarbOx: I sell (expensive) software to help companies comply with the document retention, reporting, compliance, and legal discovery burden of Sarbanes-Oxley. But every commission check I cash for this software comes from money that businesses COULD have been spending on, well, something else. Like another employee's salary, or better benefits, or a marketing campaign, or ANYTHING other than placating the federal government.
Read the whole economic plan here.
Posted by RobbL at January 28, 2008 03:17 PM | TrackBack