Is The Current State Of The Economy In Michigan A Preview To Obama’s Economic Plan?
According to the Wall Street Journal:
Despite the federal government’s growing economic dominance, individual states still exercise substantial freedom in pursuing their own economic fortune — or misfortune. As a result, the states provide a laboratory for testing various policies.
Ranking states by domestic migration, per-capita income growth and employment growth, ALEC found that from 1996 through 2006, Texas, Florida and Arizona were the three most successful states. Illinois, Ohio and Michigan were the three least successful.
The rewards for success were huge. Texas gained 1.7 million net new jobs, Florida gained 1.4 million and Arizona gained 600,000. While the U.S. average job growth percentage was 9.9%, Texas, Florida and Arizona had job growth of 18.5%, 21.4% and 28.9%, respectively.
Remarkably, a third of all the jobs in the U.S. in the last 10 years were created in these three states. While the population of the three highest-performing states grew twice as fast as the national average, per-capita real income still grew by $6,563 or 21.4% in Texas, Florida and Arizona. That’s a $26,252 increase for a typical family of four.
The Competitiveness Index created by the American Legislative Exchange Council (ALEC) identifies “16 policy variables that have a proven impact on the migration of capital — both investment capital and human capital — into and out of states.” Its analysis shows that “generally speaking, states that spend less, especially on income transfer programs, and states that tax less, particularly on productive activities such as working or investing, experience higher growth rates than states that tax and spend more.”
McCain will lower taxes, Obama will raise them, especially on small businesses. To understand why, you need to know something about the “infamous” top 1% of income tax filers: In order to avoid high corporate tax rates and the double taxation of dividends, small business owners have increasingly filed as individuals rather than corporations. When Democrats talk about soaking the rich, it isn’t the Rockefellers they’re talking about; it’s the companies where most Americans work. Three out of four individual income tax filers in the top 1% are, in fact, small businesses.
In the name of taxing the rich, Mr. Obama would raise the marginal tax rates to over 50% on millions of small businesses that provide 75% of all new jobs in America. Investors and corporations will also pay higher taxes under the Obama program, but, as the Michigan-Ohio-Illinois experience painfully demonstrates, workers ultimately pay for higher taxes in lower wages and fewer jobs.
It’s the perfect example.
I don’t understand why people refuse to see it.
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I think the current dismal state of the bush economy is a preview of what a McCain administration would be like for America.
More of the same.
NO not when Obama plan call for helping General Motor retool their factories and in the process create thousands of jobs . So your point is ???
OBAMA/BIDEN 2008
Obama does not have a plan
YES!
sure it is, these guy’s never learn
I’m a lifelong Michigan resident. Our governor is a liberal democrat and she has done very poorly as an economic manager for our state. She and most other democrats don’t understand economics and tax policy. It is a fact that more federal income taxes were collected during Bush’s term than ever before. Lower taxes equals higher output which actually increases government revenues.
Is the current state of our national economy a preview of McCains plan. He does support all of Bush’s economic policies. BTW, have you noticed that the Feds have now FEDERALIZED the private housing market??
Hey, but Obama’s a big liberal. Hmmmm…. Who was the last Liberal in the white house, oh that’s right CLINTON! That’s the guy that balanced the budget. Bush is the guy that’s in now. But you know those liberals, spend spend spend.
Advice 4 you, check to see if McCain is really a conservative in the first place.
It’s really a simply concept. The more expensive it is for a company to do business (either through taxes or excessive regulations and restrictions), the less they will be able to pay employees, the less employees they will be able to keep, the higher the prices will need to be for their goods/services, and the more likely they will move elsewhere to find a cheaper environment in which to run their business.
Businesses are supported by investors and those investors want to see returns on their investments.
no, the current state of michigan’s economy is because of bush’s policies. let’s give the big companies of america a tax break so they can take their business over seas to help foreign economies do better in this global economy world. and by doing so they can also save on health care and the cost of doing overall business. meanwhile, back here in michigan, people loose jobs, industries are slowly disappearing and people leave the state.