A Voter's Guide!

Tom Kean/Michael Steele/Rick Santorum (The Republican Stance)

Economy

-Taxes in New Jersey–Republican Kean Supports Tax Cuts – New Jersey “gets the worst return on its federal taxes of any state in the country: only 57 cents of every dollar we send to Washington comes back to New Jersey in federal spending.” Lower taxes mean more money for New Jersey residents to spend on New Jersey.

Some more facts about the Bush Tax Cuts that Kean/Steele/Santorum support…

FACT: The 92.1 million taxpayers with annual incomes of less than $50,000 in 2003 saw a 47 percent reduction in their average tax bill from President Bush's 2001-2003 income tax relief. ("Who Benefits Most From Tax Cuts On Investment Income," The New York Times, 4/5/06)

FACT: The 26.9 million taxpayers with annual incomes between $50,000 and $100,000 in 2003 saw a 20 percent reduction in their average tax bill from President Bush's 2001-2003 income tax relief. ("Who Benefits Most From Tax Cuts On Investment Income," The New York Times, 4/5/06)

These low taxes have produced the following…

FACT: Last year, the economy grew at a healthy 3.5 percent rate – faster than any other major industrialized country.

FACT: The unemployment rate is at 4.8 percent – lower than the average of the 1970s, 1980s, and 1990s.

FACT: The tax cuts have actually created a boost in tax revenue which resulted in a reduction of the deficit of at least $70 billion.

Bob Menedez/Ben Cardin/Bob Casey (The Democrats’ Stance)

Bob Menendez/Ben Cardin/Bob Casey are against the above tax cuts and if re-elected would vote to NOT extend these tax cuts. You might be worried about the deficit and the effect that tax cuts have on the deficit. However, the truth is that lower tax rates lead to higher tax revenue in the near future (more money in your pocket leads to more investment in the economy – this increased investment leads to higher revenue and therefore higher tax receipts). We have seen this fact in 2005 by witnessing the fastest growth in tax revenue in over 25 years. The problem that still needs to be resolved regards spending. While the Republicans have not controlled spending like most would like to see, the Democrats would spend even more. For example, the Democrats’ Alternative Budget for 2006 put forward in the House of Representatives was to increase government spending by $177 billion.

One last note: if Democrats were put in power, they would not pass bills supporting free trade. In fact, they would pass bills restricting trade (such as the Schumer bill that would put a 27.5% tariff on Chinese goods). The Schumer Bill would make most of the things you buy 27.5% more expensive. This does not sound like good economics.

So on November 7^th, remember vote Republican if you want to have a prosperous economy for the next two years.