Citizens for a Sound Economy offers ideas to bolster sagging economy

The horror of September 11 has changed so many things.  Our president is more resolute, our citizens more reflective, our challenges more acute and dangerous.  In an instant, murderous thugs transformed the national political debate.  As we approach the year's end, Congress must revisit its priorities and strengthen our economy. 

Debates that raged in Washington about lock boxes and nonexistent trust funds are now over.  It seems silly now, but both Republicans and Democrats were running paid media, blaming each other for spending the social security "surplus."  The economy was slowing, unemployment rising, the stock market falling and Washington's elite were gridlocked by a debate both sides now concede was always false and misleading.

The political agenda before September 11 is now left for historians to decipher.  Americans must now react to and engage in the new political debate.  A wave of national unity has led to a cease-fire in partisan battles.  The economic damage of the terrorists' attack has built momentum in both parties for new tax cuts.  As evidenced with the $15 billion airline bailout, Congress has shown it can act quickly and decisively.

But how much longer do we want Congress around this year?  Citizens for a Sound Economy believes Congress should immediately take the following steps to bolster a sagging economy:

1. Accelerate the Bush tax cut and make it permanent.
2. Reduce capital gains taxes.
3. Reduce payroll taxes.
4. Accelerate depreciation schedules for business investment.
5. Implement the Bush energy plan.
6. Eliminate waste and pork barrel spending, particularly as new demands are placed on the federal budget. 

Yet, there are several things we believe Congress should not do.  For example, the airline bailout included liability provisions that served only the interests of trial lawyers.  Victims could have been treated fairly, generously, and justly without enriching the trial lawyers.  Unfortunately for the American people, pro-tort reform legislators did not want to slow down the legislative process by arguing with the pro-trial lawyer legislators. 

The annual appropriations bills still need to be completed.  Congress should not use the new atmosphere as an excuse to add billions of taxpayer dollars to spending programs that have nothing to do with anti-terrorist efforts.  Unfortunately, history shows the longer Congress remains in session, the more likely it is new spending will get added.

Congress should not rush to pass a prescription drug plan without first fundamentally restructuring the Medicare plan.  Congress should not pass a so-called patient bill of rights that increases lawsuits and decreases health coverage.  At a time of economic slowdown, Congress should not increase costs to employers by raising the minimum wage.  These are just a few examples of the mistakes Congress could make if they stay in town and use the new spirit of bipartisanship to "get things done." 

On the other hand, should Congress leave early or decide to sit on the sidelines, none of the policies that could help the economy will be implemented.  We need to accelerate the Bush tax cut and make it permanent.  Reducing the capital gains tax rate can help stimulate investment.  The right energy bill can help reduce our over-dependence on foreign oil.  And those things are just the tip of the iceberg.  These actions would not only shore up our economy in the short term, but would strengthen it for the future. 

So as champions of freedom and free enterprise, do we want Congress to stay or go?  The answer probably lies with what the president can do.  If President Bush believes he needs a pro-growth economic plan he could likely get one with very little compromise.  However, if this war on terrorism monopolizes the president's time and focus, Congress then has the opportunity for economic mischief.  The result?  Fiscal discipline will break down and cooperation on good tax policy will erode.

The best strategy would be to keep Congress focused on the important task of strengthening our economy.  Excessive taxation and wasteful government spending can thwart our economic recovery and weaken the nation.  Congress should address these concerns immediately and leave the debate over more contentious policy questions for quieter times ahead. 

Citizens for a Sound Economy remains committed to our principles of lower taxes, less government, and more freedom.  We continue to work with the Administration and Congress to ensure pro-growth policies continue and that America grows stronger as a result.
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Citizens for a Sound Economy (CSE) is a grassroots advocacy and education organization dedicated to freedom.  CSE recruits, educates, motivates, and mobilizes hundreds of thousands of volunteer activists to fight for less government, lower taxes, and more freedom.

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