August 2012 — Laissez FaireLaissez Faire

Keith Hennessey gives us a handy guide to the tax debate.

Over the past 50 years federal taxes have averaged 18% of GDP.

Governor Romney proposes taxes “between 18 and 19 percent” of GDP.

The House-passed (“Ryan”) budget proposes long-term taxes of 19% of GDP.

President Obama’s budget proposes long-term taxes at 20% of GDP.*

The Bowles-Simpson plan proposes long-term taxes at 21% of GDP.

As Keith goes on to say, although 1% doesn’t sound like a big difference, when you’re talking trillions, it’s huge.

I’m out on the road right now—in DC at the moment—which makes writing a bit of a challenge. (This post is brought to you courtesy of my iPad). I’ll have thoughts on the GOP convention next week, so stay tuned. In the meantime, I’d like to hear from you. Which speeches do you think made the best case for economic freedom? Which made the worst?

If you would like to ask me a question, you can submit it here.

Today’s economic outlook is troubling. But I, for one, don’t think it’s time to invest in canned food and bullets. As Burton Folsom reminds us, past generations have faced problems no less grim than our own. They avoided disaster by expanding freedom.

The hope for your generation is that you will meet the challenge of the loss of freedom today in the same way that the World War II generation and the Civil War generation did after war came and liberties were denied: They increased freedom, opened up our great human potential, and enjoyed the prosperity that followed.

That’s what we need to fight for today.

Yaron was interviewed on Butler on Business to discuss Paul Ryan’s selection as Mitt Romney’s running mate. This interview was broadcast on August 15, 2012.

I, meanwhile, discussed Paul Ryan on the Wall Street Shuffle.