I'm Pete du Pont with the National Center for Policy Analysis with a tip the next time your liberal friends fret about a tax cut. You know the lines: "It's a risky experiment! We'll be plunging into the unknown!" and other liberal assertions.
But it's not true: Tax cuts are neither an experiment nor a voyage into the unknown. And a recent Goldwater Institute study in Arizona shows it in black and white.
The overwhelming historical evidence shows that the Kennedy and Reagan tax cuts sparked growth. And the study demonstrates that states without income taxes enjoy a hefty advantage over states that take their citizens' money. Income taxes discourage production. When states drop the tax rate by one percent, real per capita personal income growth goes up 3.6 percent.
The Goldwater Institute study showed that if Arizona phased out its income tax, there would be a 42 percent increase above current projections in personal income by 2016; 600,000 new jobs would be created; and sales tax revenues would go up.
Now, what's so scary about that?
Those are my ideas, and at the NCPA we know ideas can change the world. I'm Pete du Pont. Next time, the free market in print.