Tuesday, June 07, 2011

At least he is honest.

Tim Pawlenty has a plan and it is honest.  And it would balance the budget.  Here are some details (emphasis mine).  I particularly like the "google" test - and if the private sector does it, then the US Government shouldn't (from WSJ).
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Doesn't that include schooling, medical insurance, old age retirement planning AND the military (google "private military contractors" - go on, I'll wait. oh nevermind - here is a directory from google.).  Of course, this all directly contradicts the Constitution but no one cares about that anyway. (The original - with Mr. Pawlenty's change added; "We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defence, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity (or those bits you can't outsource), do ordain and establish this Constitution for the United States of America ")
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Mr. Pawlenty wants to reduce the corporate tax rate from 35% to 15% and create just two tax brackets for individuals and families: a 10% rate on the first $50,000 of income for individuals – or $100,000 for married couples – and a 25% rate for all other income. In addition, he will call for the elimination of taxes on capital gains, dividends, interest income and inheritance.
One challenge for Mr. Pawlenty is to show that his plan would not explode a deficit that is expected to top $1.6 trillion, given that cutting rates so steeply could prompt a fall-off in tax revenues. The plan could expose Mr. Pawlenty to criticism from Democrats or even rivals for the Republican presidential nomination who have all made deficit-reduction a hallmark of the primary fight.
Indeed, Democrats quickly made just that claim. “No one should be surprised that a failed former governor who left his state with a massive projected budget deficit in the billions of dollars is now proposing to massively explode the deficit at the federal level,” said Brad Woodhouse, a spokesman for the Democratic National Committee.
In order to offset any lost tax revenue — and to tackle the deficit — Mr. Pawlenty calls for something called “The Google Test” to determine whether the government should be involved in a program.
If you can find a good or service on the Internet, then the federal government probably doesn’t need to be doing it,” Mr. Pawlenty says. “The post office, the government printing office, Amtrak, Fannie [Mae] and Freddie [Mac], were all built in a time in our country when the private sector did not adequately provide those products. That’s no longer the case.”