Last week the U.S. Census Bureau released its report on poverty, income and access to healthcare. The report is considered to be one of the best pictures available on the financial well- being of ordinary Americans.
According to some observers, the report is also a look at how well the president guided the economy. During the period in question, the president was George W. Bush.
According to economist Mark Zandi, over his first four years Bush deserved an “A” for his quick action on the economic downturn in 2001, a “C” for the effectiveness of his short term policies and an “F” for his management of the federal budget and long-term deficits.
Writing in “The Atlantic,” Ronald Brownstein takes a slightly different tact. Brownstein steps out farther claiming: “On every major measurement, the Census Bureau report shows that the country lost ground during Bush’s two terms.”
Brownstein goes on to argue that the report undercuts the long held Republican mantra that tax cuts and tax cuts alone will save us.
We found Brownstein’s article to be interesting reading. We found it especially pertinent because last week opponents of the Maine’s Democratic tax reform package passed in their petitions calling for a referendum vote.
Changing the state’s tax structure and spreading the tax pain to visitors to Vacationland is something that has long been discussed but never acted on before now, and we applaud our legislators for making the attempt.
However, an examination of some of the components of the reform package certainly raises eyebrows, not only because of what is and what isn’t taxed, but because essentially what it does is create more work for business owners by making them tax collectors for the state.
On the other hand, not doing anything is not enough.
People have been screaming for years about the state’s tax burden. It is not enough to simply oppose anything other than cutting taxes.
As Zandi points out, Bush built his economic legacy largely on tax cuts with no reduction of spending, an approach that is financially untenable over the long term.
All that said, we aplaud the efforts of reform opponents to bring the issue to a vote. Matters that portend profound changes in how we do business, figuratively and literally, should be before the people.
Let the people decide.
