The Young Guns (Paul Ryan, Eric Cantor & Kevin McCarthy) have been telling anyone who will listen the regulations is choking the private sector like like Justice David Prosser chokes a woman*(he was mad so it was justified). Unfortunately for the ‘Young guns” Bruce bartlett, ex Ronald Reagan and George H W Bush economist was listening:
As for the idea that cutting regulations will lead to significant job growth, Bartlett said in an interview, “It’s just nonsense. It’s just made up.”
Government and industry studies support his view.
The Bureau of Labor Statistics, which tracks companies’ reasons for large layoffs, found that 1,119 layoffs were attributed to government regulations in the first half of this year, while 144,746 were attributed to poor “business demand.”
Hmmm poor demand is the reason we do not have jobs in the country, who knew? Maybe we can have more tax cuts for the rich, that seemed to work well in the Bush years right?
“Republicans favor tax cuts for the wealthy and corporations, but these had no stimulative effect during the George W. Bush administration, and there is no reason to believe that more of them will have any today,” writes Bruce Bartlett.
Well we need to do something to put mone yin the pockets of the ‘job creators” right Rick Perry?
The Republican candidates, however, have labeled President Barack Obama’s 2009 stimulus efforts a failure. Instead, most are calling for tax cuts that would primarily benefit high-income people, who are seen as the likeliest job creators.
“I don’t care about that,” Texas Gov. Rick Perry told The New York Times and CNBC, referring to tax breaks for the rich. “What I care about is them having the dollars to invest in their companies.”
Ummm Rick, there is one problem with that theory:
Many existing businesses, however, have plenty of unspent cash. The 500 companies that comprise the S&P index have about $800 billion in cash and cash equivalents, the most ever, according to the research firm Birinyi Associates.
The rating firm Moody’s says the roughly 1,600 companies it monitors had $1.2 trillion in cash at the end of 2010. That’s 11 percent more than a year earlier.
What does small business have to say about the economic climate?
Small businesses rate “poor sales” as their biggest problem, with government regulations ranking second, according to a survey by the National Federation of Independent Businesses. Of the small businesses saying this is not a good time to expand, half cited the poor economy as the chief reason. Thirteen percent named the “political climate.”
More small businesses complained about regulation during the administrations of Bill Clinton and George H.W. Bush, according to an analysis of the federation’s data by the liberal Economic Policy Institute.
Bartlett, whose books on tax policy include “The Benefit and the Burden,” recently wrote in the New York Times: “People are increasingly concerned about unemployment, but Republicans have nothing to offer them.”