If you think unemployment has been high during the last four years, brace yourself — you ain’t seen nothing yet.
Many economists agree the best way to lower unemployment and increase revenue is by widening the tax base. Create an environment where entrepreneurs want to create new businesses and business owners want to expand. The president is doing the exact opposite.
According to Matthew Daly of The Associated Press, a plethora of new regulations are coming our way, all of which increase business costs, kill jobs and destroy incentive. These include everything from Environmental Protection Agency attempts to regulate rainwater runoff on private property to mandates that data-recording “black boxes” be installed on automobiles.
During the final months of the presidential campaign, federal agencies’ rule-making authority was placed on hold. Now that Obama has won his second term, there’s no longer a need to lay low.
Republican lawmakers are concerned, especially Sen. Jim Imhofe of Oklahoma. He foresees a huge growth in regulatory power, especially to the EPA, which often came under attack during the president’s first term in office.
“Under an Obama EPA that has earned a reputation for abuse, American families will be subjected to a regulatory onslaught that will drive up energy prices, destroy millions of jobs and further weaken the economy,” Imhofe wrote in a 14-page report on expected EPA regulations for 2013. The report predicts an influx of regulations that “spell doom for jobs and economic growth.”
As economic growth declines, it takes down with it jobs and the tax revenue that accompany them. The Obama administration doesn’t seem to understand this basic maxim.
On Page 208 of the president’s proposed budget, the White House estimates a 37 percent increase in corporate tax revenue from 2012 to 2013 – from $281 billion to $385 billion. The proposal should have begun with the words, “Once upon a time.”
Read more at The Associated Press.