Club for Growth Denounces Democratic Tax Hike
Club for Growth Denounces Democratic Tax Hike
Washington – The Club for Growth denounced the 2008 Democratic budget proposal as a recipe for economic disaster. While the chairman of the Budget Committee, Kent Conrad (D-ND), claims that that the proposal does not increase taxes, the expiration of the Bush tax cuts will effectively raise taxes on all Americans by a whopping $2.1 trillion from 2008 to 2017. At the same time, Senator Conrad is proposing increasing government spending, including $18 billion in new discretionary spending for 2008 alone and $150 billion over the next five years.
To understand the potential economic damage of Senator Conrad’s proposal, one need only look at the positive results of the Bush tax cuts over the past couple of years. The Bush tax cuts are responsible for the recent boom in economic growth, the creation of 7.5 million new jobs since 2003, increased wages, and a higher standard of living. The tax cuts are also responsible for the wave of new tax revenue flooding the federal treasury’s coffers, putting a balanced budget within our reach.
“Looking at the Senator Conrad’s budget proposal, I can’t help but wonder if the Democrats have been living in a cave, because you would have to be hibernating for the past couple of years not to notice the economic benefits resulting from the Bush tax cuts,” said Club for Growth President Pat Toomey. Unfortunately, Senator Conrad’s budget will wipe away those benefits if implemented. The Budget Committee should reject the chairman’s proposed tax hike, and pass a budget that will assure economic growth by extending the tax rate cuts set to expire after 2010.”
