Tax Guru-Ker$tetter Letter
Thursday, July 25, 2002
Truth About The Reagan Tax Cuts
Jeff Jacoby has a good & accurate description of the very positive effects the Reagan tax rate cuts had on the country.
It makes me sick every time I hear those rate cuts blamed for the deficit, when that was completely the fault of rampant spending by Congress. It makes me doubly sick when even so-called Republicans, such as Warren Rudman, consistently parrot this liberal lie. When will the GOP stand up against this historical revisionism and smack down anyone who perpetuates this lie?
In fact, if Bush weren't so afraid of offending the liberals, he would take steps to reduce tax rates right now and we would see the benefits to the economy very quickly. As I have explained on several occasions, he has the power to unilaterally chop the effective tax rate on capital gains by redefining the cost basis to include adjustments for the effects of inflation. Unfortunately, he is too wimpy to use that power, exactly as his father was.