Many excellent points were made in the debate that exposed each candidate’s plans and belief systems. The economy and more specifically housing has a chance for recovery with the free enterprise plan of Romney, but is doomed to stagnation as the best possible result with Obama’s government centric, tax and spend (Obama conveniently refers to as ‘investments’) plan.
President Obama said he cut taxes for 98% of the people, and cut small business taxes eighteen times. Just that one statement shows why America is in such economic trouble. Extending tax rates is not a tax cut, and small business owners know the difference between a tax cut and a tax credit. The president obviously or obliviously does not know the difference.
Regardless the president’s claims, whatever his plan was and is, it hasn’t worked and it can’t work in a free enterprise system. Obama’s plan is better suited for a European socialist welfare state.
Romney on the other hand has it exactly correct. A growth economy, spurred by lower tax rates, will increase jobs and government revenue.
History proves both candidates correct. Obama has reverted back to the days of FDR that had an extended period of government growth and record unemployment resulting from their belief government spending was the solution to a depressed private sector. Neither realized, or realizes it is big government that depresses the private sector exacerbating the downturns in the 1930’s and today.
A free enterprise plan that relieves businesses from unnecessary regulatory burdens, lowers business tax burdens, and individual tax burdens has led to recovery through job growth every time in our history.
Coolidge followed by the Roaring 20’s, JFK and the prosperous 60’s, Reagan’s miraculous 80’s recovery, the commercial boom following Clinton’s capital gain tax cuts in the 90’s, and George W’s 2003 tax cuts revitalized a nation reeling from the Dotcom bust and 9-11 attacks resulting in 4.4% unemployment.
However the most remarkable recovery was during Harding’s administration. Old Warren G. was begged for action when the economy was tanking and was slipping fast into recession. What did the old Buckeye do to stop the slide? Nothing. Within a year the economy recovered.
Historically the economy naturally recovers under its own volition. Any progress today toward recovery is due to those natural recuperative powers in spite of Obama, not due to Obama.