A burgeoning economy
By Felicia (Fee) Benamon (01/16/06)
It's a sure sign the economy is in robust mode. More people have faith in the economy. With news that the Federal Reserve was looking to halt interest rate hikes, the Dow hitting the 11,000 mark for the first time since before Sept. 11, 2001, and the Nasdaq climbing to a 4 1/2 year high, this year has started off on a phenomenal path.
President Bush's tax cuts are surely responsible for the economic growth. It doesn't take a genius to figure out that if you give people some of their hard-earned money back, they will spend it... put that money back into the economy, or invest it. The economy revives as soon as people are given some incentive to spend. President Bush has always stated the importance of government to engage in responsible spending, and to give the people their money to do with it as they feel they should. That is responsible also. Which is why the President is still pushing Congress to make his tax cuts permanent:
"Congress needs to finish its work on this important bill," Bush said. "By passing the first reduction in the growth of entitlement spending in nearly a decade, Congress will send a clear signal that the people's representatives can be good stewards of the people's money."
"Some people in Washington said these tax cuts would hurt the economy," Bush said. "The day the House voted for tax relief in May 2003, one Democratic leader declared it a 'reckless and irresponsible tax plan that will undermine opportunity in our country.'
"Since those words were spoken, our economy has added more than 4.6 million new jobs for the American people," Bush said.
(see article link below)
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One may recall after the attacks on our country on Sept.11, 2001, our country entered a slight recession. President Bush pushed his plan for tax cuts to stimulate the economy. Give Americans some of their hard earned money back, don't squeeze them even more. President Bush knew he needed to get the public's confidence back to spend, so it would make sense to push tax cuts. And of course, there will be some naysayer Democrats who rebuke any idea the President has. But the results were phenomenal, and our nation continues to reap the benefits of low interest rates and more money in our pockets to spend.
I know I'm happy, seeing as I have student loans to pay back and student loan interest rates are low right now. I honestly feel like I am not squeezed for money like I was under the Clinton Administration, with high interest rates and taxes.
Another positive to the Bush tax cuts came through the child tax credit. I saw this implemented firsthand as an employee at a tax service. As parents received their income tax check, they found out they were due another check, sometimes multiple checks, which meant more money in their pockets per child (age 16 and under) to spend. One can imagine the sheer joy of a client who finds out they will be getting additional money back. These were blue-collar workers, middle class families who definitely could use a few extra money in their pockets. So all the empty rhetoric from certain Democrats and liberals that Pres. Bush is ignoring middle-class Americans in favor of the rich has no foothold. It's simply ridiculous.
The Bush tax cuts have strengthened this country in so many areas. We were all familiar with problems on the local level throughout the US in previous years. States were struggling. But since the Bush tax cuts came into effect, state budgets have been boosted. State governments now have a surplus. As long as states control their spending habits, they will not be in the red. The right government leaders are key to getting things done, spending taxpayer dollars the right way. And apparently many state leaders across the country have done the right thing and have put the money to good use.
Many states have had to cut back or do away with many programs that were in place in the 90's. Some of them were ineffective and some people were abusing the system. It is sometimes pertinent to review the status of a program to see if it is necessary to continue its operation. If not, that means there is more money to put towards other vital needs of the community.
So in a sense, states were cutting out the fat... trimming a bit off the waist in state budgets. And local economies are feeling the difference for the better.
Unemployment down
Another good sign the economy is surging ahead...unemployment is down to 4.9%, despite all the setbacks the country suffered in 2005. The hurricanes didn't stop job growth. Two million new jobs were added in total in 2005.
And for more good news, the number of blacks who are unemployed, has dropped under the Bush Administration. President Bush has always asserted that hard work and determination, a positive outlook on life, and the ability for every American to live the American dream is possible. He was the motivator for many at last year's black expo in Indiana, where he pushed for more minority home ownership, entrepreneurship, and a general appetite for the better things in life:
I see an America where all our children are taught the basic skills they need to live up to their God-given potential. I see an America where every citizen owns a stake in the future of our country, and where a growing economy creates jobs and opportunity for everyone. I see an America where most troubled neighborhoods become safe places of kinship and community. I see an America where every person of every race has the opportunity to strive for a better future and to take part of the promise of America. That's what I see. And I believe the government has a role to play in helping people gain the tools they need to build lives of dignity and purpose. That's at the heart of what I call compassionate conservatism.
--President Bush, July 14, 2005
(see article link below)
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Notice the President said that the government has a role to play in helping people gain the tools they need...etc. Not making them totally dependent on the government to live.
Every American is encouraged to reach their goals. It's no surprise, the numbers speak for themselves. Many people have risen to accomplish more than they have dreamed. All because of a little motivation from the Bush initiatives to stimulate the economy.
What's President Bush's goal? To help people to believe in themselves, to give them that extra edge, and they will succeed. And our entire society will be better off for it.
Investing wisely
As you know, the markets fluctuate. They may be down one period, but up the next. The markets may go down, but they are never out. Right now, the economy is chugging along at a good pace. The bull is running full speed ahead.
A guaranteed promise for a successful economy includes careful spending by our government, and giving American citizens some of their own money back. We as Americans must pressure Congress to keep the Bush tax cuts in place to keep our economy going. The excessive spending in Congress has to stop as well. Unnecessary pork projects can wait. If taxpayer money is spent wisely by the government, we wouldn't need to raise taxes.
The government has to trust the people, and vice versa. From there, you will see a financially sound America weather any situation it faces.
Let's hope to see more stock market gains in our future. Leave the bleak forecasts out of the picture...keep looking ahead to a promising year, and it will deliver.
Related Reading:
Bush Urges Congress to Save Tax Cuts:
http://news.yahoo.com/s/ap/20060108/ap_on_go_pr_wh/bush;_ylt=AmojJ7gAv1sDtvXufRAD1ZmyBhIF;_ylu=X3oDMTA5aHJvMDdwBHNlYwN5bmNhdA--
Information on the Child Tax Credit:
http://www.irs.gov/taxtopics/tc606.html
State Budgets Boosted by Bush Tax Cuts, Analysts Say:
http://www.cnsnews.com/ViewSpecialReports.asp?Page=\SpecialReports\archive\200512\SPE20051221a.html
Unemployment Rate Falls to 4.9 Percent:
http://news.yahoo.com/s/ap/20060106/ap_on_bi_go_ec_fi/economy_64
Black Unemployment Drops Under Bush:
http://www.humaneventsonline.com/article.php?id=9942
President Discusses Education, Entrepreneurship and Home Ownership at Indiana Black Expo:
http://www.whitehouse.gov/news/releases/2005/07/20050714-4.html
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