OPINION: Romney’s economic plan


Editor’s Note: This is the third in a series of three columns leading up to the Nov. 6 election. The Citizen requested opinion pieces from campus democrats and republicans. The democrats failed to respond. The previous columns focused on foreign policy and healthcare.

 

Perhaps more than anything else, Barack Obama’s biggest failure as President has been restoring the American economy. With actual unemployment still over 8 percent, and jobs reports constantly skewed to exclude Americans who have given up looking for work, our country is in need of a change.

As a successful businessman, Governor Mitt Romney’s vast experience in both the private and public sectors is exactly what we need. He has clearly outlined his plan to turn America’s economy around. This article will address four of his major points.

1) Taxation

America has one of the highest corporate tax rates in the world, exceeding the OECD average by as much as 20 percent. How can we expect our businesses to hire more people when they are paying 35 percent tax rates to the government? As history proved in the 1980s, this is not a time for high tax rates. It is a time to cut taxes. And that is what Mitt Romney will do as President. In fact, he vows to reduce the corporate rate to 25 percent.

Moreover, Romney will help each individual American—not just businesses and corporations. Electing a president who will reform the tax code is particularly important this year because if Obama stays in office, the Bush tax cuts will expire and everyone will face massive automatic tax hikes. With Mitt Romney in the White House, Americans can expect permanent cuts to their marginal tax rates by 20 percent. He will also eliminate the Death Tax in order to encourage investments and repeal the Alternative Minimum Tax (AMT), which has been especially harmful to middle-class Americans.

2) Trade

Another important component of our economic growth is expanding trade. Obama has done nothing but stall America’s trade network, while our competitors have strengthened theirs. Moreover, Obama has stood by as China continues to misappropriate western technology and manipulate its currency to the detriment of America.

In contrast, Governor Romney will help to create new jobs for Americans by expanding our trade network. Specifically, he will reinstate the Trade Promotion Authority, complete negotiations for the Trans-Pacific Partnership, establish new trade agreements and create the Reagan Economic Zone.

With regard to China, Romney will take firm and immediate action. To begin, he will work to prevent illegal Chinese goods from entering the American market. Second, Romney will increase USTR resources to pursue and support litigation against unfair trade practices. Finally, he will designate China a currency manipulator and impose countervailing duties.

3) Regulations: Eliminate Undue Economic Burdens

Each year, the Obama administration imposes $1.75 trillion of regulatory costs on our country, thus further weakening our economy. As President, Romney will tear down these regulatory burdens, including Obamacare and Dodd-Frank—the latter of which he will replace with a more efficient system. Additionally, he will amend Sarbanes-Oxley in order to assist mid-size companies who are currently facing outrageous regulations.

4) Debt

One last aspect of Romney’s economic plan that will be addressed here is dealing with our ever-growing national debt. Obama’s unprecedented increases in federal spending have only contributed to sinking our country further. In contrast, Romney will cap federal spending at 20 percent of GDP and he will cut all non-security discretionary spending by 5 percent.

 

Considering the daunting statistics about unemployment, stifled trade and business expansion, and a staggering national debt, the choice to remove the culprit seems quite clear. America cannot afford four more years of Barack Obama. We need a new President who will restore our economy and lead us into a strong future.

Submitted by the HKS GOP Caucus

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