The Prosperity Agenda: Reaganomics 2016

Overheard: It looks like capitalism is failing and it is inevitable that we have to implement a version of the Democratic Party envisioned experiment in American socialism to make our society fairer so we have a leveling of incomes and wealth.

 

Mr. Wright responds: There are many issues that we will look back to regret if a Democrat wins in 2016, however, paramount among them is how the implementation of any move to adopt additional Socialist policies could adversely impact the future prospects for our country in so many calamitous ways. 

 

Be ready, be right and respond! – Mr. Wright’s talking points: Obama’s progressive economic policies and those advocated by Democratic Presidential candidates are the direct opposite of what needs to be implemented in order to turn around the American economy that has produced the lowest growth rate of any post 1960 recovery. Continuing down the path of creating a society leaning more towards socialist economic solutions as advocated by the current Democratic Party candidates is a recipe for further economic deterioration and will have a disastrous effect on America's future. The failings of the economies of the current European Socialist countries offer a warning sign that cannot be overlooked by the voters.

 

For the average American understanding the right fix for the economy is an ongoing challenge, however, a look back at the documented economic successes of Reaganomics provide an outstanding model of the proper path that Americans once again need to follow. In the 1980s, Reaganomics changed the economic landscape in effect at that time. President Reagan changed the prevailing economic model from one of Big Government back to conservative based limited government, with an implementation of lower tax rates and free market solutions. The long term positive economic effects of these changes were felt for 25 years in America.

 

Republican candidates in this election cycle must be dramatically better at connecting with the American people by conveying the message that the road to prosperity is directly dependent with the return to a truly free enterprise system and an opportunity based open society that will be capable of creating more wealth and jobs to benefit everyone. The American people in November 2016 will have the final say regarding which vision of America will prevail. Will America’s future allow a Steve Jobs, Jeff Bezos (Amazon), Sergey Brin and Larry Page (Google), and Mark Zuckerberg (Facebook) to succeed and create new enterprises that employ hundreds of thousands of people and have a profound positive impact on society or is the era of the great American Dream Machine over forever?

Two Contrasting Visions of the Economy Compete for Voters in 2016:

 

Two contrasting visions of how to manage the economy will be competing for our votes in November of 2016. America’s number one priority is to devise and implement effective solutions to create an economy that is capable of growing at 3.0% or greater.

In ancient times through the 17^th Century, Alchemists claimed the ability to magically turn common metals into Gold or Silver.  In the second decade of the 21^st century, today’s left leaning Democratic Party promotes Liberal/Progressive economic policies that they present as being magically capable of leading America back on the road to prosperity.

 

Obamanomics is a dismal failure

 

Given the results over the last seven years regarding the continued failure of Obamanomics to grow the economy beyond an inadequate 2.0% annual growth rate, trust in any significant positive outcomes deriving from the tired playbook of outdated and ineffective Keynesian and redistributive inspired Democratic economic theory seems as equally absurd as believing in the powers of Alchemy.

 

Today’s Democratic Party is ideologically incapable of offering alternative solutions to our economic challenges outside the realm of their traditional liberal formulas. The emerging totalitarians of the Left through their various organizations wish to anoint themselves the new controlling elite to take hold of power in order to replace our great American freedom based experiment in government with a new Social Democracy. Blaming Wall Street and income inequality as the primary causes of our current economic malaise is a calculated diversion.

The Great American Dream Machine

The Great American Dream Machine has been made possible by the existence of our free enterprise system. Throughout our history, entrepreneurs help create through their talents, hard work, imagination and innovative ways a society with the greatest standard of living in history. Millions of small business owners are working every day under increasingly adverse conditions to invent our future.

We currently have a 5.0% unemployment rate which does not accurately reflect the true nature of the anemic condition of our economic health. We have record numbers of work eligible people not participating in the labor force. Some people point to the country’s demographics as the cause of this, Americans need to rightly blame Obamanomics.  The total number of Americans in poverty was the highest in 51 years as reported in a 2015 US Census study.

 

For the average American understanding the right fix for the economy is an ongoing challenge, however, a look back at the documented economic successes of Reaganomics provide an outstanding model of the proper path that Americans once again need to follow. In the 1980s, Reaganomics changed the economic landscape in effect at that time. President Reagan changed the prevailing economic model from one of Big Government back to conservative based limited government, with an implementation of lower tax rates and free market solutions. The long term positive economic effects of these changes were felt for 25 years in America.

 

Reaganomics 2016

 

The proper path to economic recovery is clear today - with modest updating the Republican platform based on the principles of Reaganomics should be the basis of a winning economic vision for America in 2016 and beyond. An updated Reaganomics that assists in creating an opportunity based society that leads to more of our citizens with the potential to live in prosperity must be the primary policy tenet of the Republican Platform.

 

When President Reagan started his term in 1981, he was faced with an economy that was even in worse shape than President Obama faced in 2009. Reaganomics implementation rested on four key pillars. These pillars were:

 

-          Significant tax cuts for individuals and corporations

-          Spending reductions in the domestic sector

-          An anti-inflation monetary policy

-          Deregulation

 

Reaganomics 2016 is updated to rest on the four original pillars plus adding two more critical pillars necessary to promote an American economic recovery today. Deflation rather than inflation is a major challenge faced today so a revised monetary policy pillar that promotes economic expansion is key in our time. A complete overhaul of our educational system and an immigration policy aligned with the objectives of attracting and keeping in this country people with the proper skills who can positively contribute to a growth economy are two vital additional pillars of an updated and comprehensive 2016 edition of Reaganomics.

 

The Democrats will warn the country that to vote Republican in 2016 will mean a return to the failed policies of the George W. Bush Administration that led us into the financial crisis. It is not in the best interests of the eventual Republican nominee to contest the factual accuracy of this claim - just contend that Big Government under any Administration does not work. Republicans must reenlist the positive legacy of the economic boom started in 1981 that lasted for 25 years. It was created by the adoption of the original formulation of Reaganomics promoting limited government.

 

A Winning Republican Platform

 

Republican candidates in this election cycle must be dramatically better at connecting with the American people while conveying the message that the road to prosperity is directly dependent with our return to a truly free enterprise system and an opportunity based open society that will be capable of creating more wealth and jobs to benefit everyone. The American people in November 2016 will have the final say regarding which vision of America will prevail. Will America’s future allow a Steve Jobs, Jeff Bezos (Amazon), Sergey Brin and Larry Page (Google), and Mark Zuckerberg (Facebook) to succeed and create new enterprises that employ hundreds of thousands of people and have a profound positive impact on society or will the era of the great American Dream Machine be over forever?