UNTIL THIS SETTLES.
WE GOT "KUDLOW" NEXT.
LARRY: HELLO, FOLKS, WELCOME TO
"KUDLOW," I’M LARRY KUDLOW.
LESS THAN A DAY UNTIL THE
NEW HAMPSHIRE PRIMARY.
LOOKS LIKE IT IS ALL OVER BUT
THE SHOUTING.
NOW IN NEW HAMPSHIRE
DONALD TRUMP PUTTING TOGETHER A
UNIFIED REPUBLICAN PARTY AND
STICKING TO HIS IOWA THEME THAT
HE CAN UNIFY THE COUNTRY WITH
SUCCESSFUL POLICIES ON THE
ECONOMY, BORDER, CULTURE,
FOREIGN AFFAIRS.
BREAKING NEWS, THERE IS A UNITY
RALLY TONIGHT WITH TIM SCOTT,
VIVEK RAMASWAMY, GOVERNOR DOUG
BURGUM.
THAT IS WITH PRESIDENT TRUMP AT
9:00 P.M. IN LACONIA,
NEW HAMPSHIRE.
WE’LL HAVE A LIVE REPORT FROM
THERE IN JUST A MOMENT.
THEN SENATOR MARSHA BLACKBURN
WILL REACT TO ALL THAT BUT FIRST
BEFORE WE GO TO NEW HAMPSHIRE I
JUST WANT TO GET SOMETHING OFF
MY CHEST TO TALK ABOUT A VERY
BAD IDEA, SOMETHING CALLED A
FISCAL COMMISSION COMING OUT OF
WASHINGTON, D.C.
FOR SOME REASON REPUBLICANS LIKE
TEXAS CONGRESSMAN JODEY
ARRINGTON, HEAD OF THE BUDGET
COMMITTEE HAVE BEEN PUSHING TO
GET THIS THROUGH A FISCAL
COMMISSION.
TERRIBLE, IT IS A TAX TRAP.
WE’VE HAD THESE GOOFY
COMMISSIONS DOWN THROUGH THE
YEARS.
PAUL RYAN CHAIRED ONE THAT WOULD
HAVE RAISED TAXES AND DAMAGED
THE ECONOMY.
IT WAS SIMPSON-BOWLES, NEVER
IMPLEMENTED, IT WOULD HAVE
RAISED TAXES SIGNIFICANTLY AND
DAMAGED THE ECONOMY.
GOING WAY BACK, PRESIDENT
GEORGE W. BUSH AGREED TO A TAX
HIKE IN THE 1990 BUDGET SUMMIT
THAT PROBABLY COST HIM THE
ELECTION IN NINE TWO.
THE CONGRESSIONAL BUDGET OFFICE
SUGGESTED THAT THE TAX HIKES
WOULD YIELD 159 BILLION OF
REVENUE BUT THEY LOST
206 BILLION FROM ECONOMIC DAMAGE
INFLICTED BY THE HIGHER TAXES.
SO THE NET LOSS OF 4BILLION.
DIDN’T HELP THE DEFICIT AT ALL.
BILL CLINTON RAISED TAXES IN ’93
BUT THE CBO ESTIMATE LATER
SHOWED A WEAK E ECONOMY LOST
VIRTUALLY ALL OF THE PROJECTED
REVENUE INCREASE.
BARACK OBAMA, HE RAISED TAXES IN
2010 AND 2013 AND THEN LATER CBO
SHOWED A NEARLY FOUR TRILLION
REVENUE LOSS BECAUSE OF FALLING
ECONOMY.
DIDN’T HELP THE DEFICIT AT ALL.
CLINTON WISED UP IN ’96 ’97, CUT
TAXES REFORMED WELFARE AND THE
DEFICIT DISAPPEARED FOR FOUR
YEARS WITH A MASSIVE GROWTH GAIN
OF ABOUT 4 1/2% PER YEAR.
HAT TIP TO FORMER TEXAS HOUSE
MEMBER AND BANKING CHAIRMAN JEB
HENSARLING FOR HIS EXCELLENT
OP-ED PIECE ON THIS SUBJECT LAST
WEEK IN
"THE WALL STREET JOURNAL" THE
BEST WAY TO AVERT A CRISIS IS TO
REFORM ENTITLEMENTS.
THE NEXT BEST WAY IS, GROWTH.
THE TROUBLE WITH THESE SO-CALLED
BIPARTISAN COMMISSIONS IS THAT
THEY START RAISING TAXES AT THE
VERY FIRST MEETING EVEN BEFORE
THE FIRST CUP OF COFFEE HAS BEEN
POURED.
WHETHER IT WAS JFK IN THE ’60s
HOWEVER, REAGAN IN THE ’80s,
CLINTON IN HIS SECOND TERM OR
DONALD TRUMP, LOWER TAXES HAVE
ALWAYS BEEN A SUCCESSFUL POLICY
TO BOOST ECONOMIC GROWTH.
AND MORE GROWTH WITH MORE PEOPLE
WORKING, WITH HIGHER WAGES, WELL
THAT GENERATES MORE TAX REVENUES
TO REDUCE DEFICITS.
PROBABLY BY A FACTOR OF AT LEAST
TWO OR THREE TO ONE.
THAT’S THE HISTORICAL EVIDENCE.
SO, REPUBLICANS NOW SHOULD NOT
BE LULLED INTO FALLING FOR YET
ANOTHER PHONY FISCAL COMMISSION.
BETTER TO GIVE PRESIDENT TRUMP A
STRONG REPUBLICAN SENATE AND
HOUSE SO THE FISCAL COMMITTEES
CAN DO THEIR JOB RATHER THAN
RELY ON LEFT-WING DEMOCRATS AND
FINALLY ANY MOVES TO STRENGTHEN
SOCIAL SECURITY SHOULD FOCUS ON
MARKET-BASED INVESTMENT CHOICE.
JUST LIKE THE FEDERAL THRIFT
SAVINGS PLAN.
SOCIAL SECURITY PARTICIPANTS
SHOULD HAVE THE OPTION OF
PURCHASING APPROVED STOCK OR
BOND INDEXES THAT OVER THE LONG
RUN WILL YIELD FAR HIGHER
RETURNS AND CREATE MORE WEALTH
THAN THE CURRENT SYSTEM WHICH
INVESTS ONLY IN T-BILLS.
JUST LIKE PRIVATE RETIREMENT
ACCOUNTS, SOCIAL SECURITY SHOULD
CREATE MORE WEALTH FOR MORE
PEOPLE OVER THE LONG RUN,
CUTTING BENEFITS OR RAISING
TAXES FROM ANOTHER FISCAL
COMMISSION WOULD BE NOTHING MORE
THAN FISCAL INSANITY.
AMERICANS FOR TAX REFORM GROVER
NORQUIST WILL BE HERE LATER IN