Friday, January 25, 2013

Cutting Spending Works

I pointed out yesterday that California raised taxes on the left, then watched the rich leave and their tax revenues decrease.

Here in Wisconsin we elected a governor in 2010 that wanted to balance the budget by cutting spending.


Wisconsin budget deficit when Scott Walker took office: $3 billion
Projected budget surplus: $484 million

source, h/t: Althouse

Thanks to the new numbers our politicians are discussing how much we can cut taxes, and how much more can go to schools.
The surplus this time makes it easier for Walker and Republicans to follow through on their promises to cut income taxes while also increasing spending on K-12 schools.

Walker said Tuesday that he thought state income taxes could be cut by about $340 million, and that it would amount to a roughly $200 savings per household over the next two fiscal years. Details were still being worked out, he said.

Walker said in a statement Thursday that the larger surplus "will allow hardworking Wisconsin taxpayers to keep more of the money they earn because I plan to move forward with an income tax cut targeting the middle class."

Democrats have been generally supportive of an income tax cut, as long as it's targeted at the middle class. Democratic state Rep. Jon Richards, a member of the Legislature's budget committee, said the higher surplus provides an opportunity not only for the tax cut but also to bolster funding in a number of areas slashed in Walker's previous budget, including job training and education.
If any of you who read this are liberals/leftists/communists/socialists/democrats/ whatever.., could you tell me how many similar examples of raising taxes doing bad, and cutting spending being good you would need to see before you reconsider your economic beliefs?


Note also that I would like to see either Bobby Jindal, governor of Louisiana, or Scott Walker governor of Wisconsin, be the 2016 republican presidential nominee.

Both have been in the news this week for planning on cutting income taxes, and it sounds like both have a good shot at their plan.

I'd vote for either of them, if they are the presidential, not vice-presidential nominee, but I realize that anything that they could do nationally would be too little, too late.

Its still good news in two states.