Tuesday, March 27, 2007

Rudy's A-

Saw Rudy Guliani on Kudlow and Company. Overall I was impressed. I have never seen someone so openly support classical liberal ideals. It didn't come across a pure rhetoric either, he seemed to have some grasp of the underlying issues.

Unfortunately Rudy suffers from Supply Side Syndrom (SSS) - an irrational belief that cutting taxes will always raise revenue. Moreover, he seemed to be too taxaphobic in general.

As Mankiw says to many Republicans fall into the following trap

A) Taxes are bad

B) Carbon Taxes are a Tax

C) Therefore, Carbon Taxes are bad.


In its place Rudy prefers regulations. Over estimating the cost of taxes and underestimating the cost of regulations is a significant problem among todays republicans. More later this week on how to over come that.

11 comments:

Anonymous said...

Karl Smith,

You are truly an inspiration. Keep up the wonderful work. Best blogger on the planet.

Karl Smith said...

You are truly an inspiration. Keep up the wonderful work. Best blogger on the planet.

Is that you, Diane?

Chris said...

I'll toss in my kudos as well. I've meant to start responding to posts. Great work

James M. Jensen II said...

The problem is that the minute you start questioning supply-side economics, you start questioning Ronald Reagan's record. And with some Republicans that can be like saying that maybe Jesus wasn't such a great guy.

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