Posted on: January 23rd, 2015
The 21st-century path to state economic prosperity, increased wages at every income level, employer re-investment, and job creation is in fact pretty straightforward. It is not a matter of wealth redistribution; it is a matter of wealth creation. It is not about slicing up a shrinking pie; it is about creating a bigger pie through economic expansion.
The pro-growth policy path is clear: cut income taxes on small business and their workers; broaden the sales tax base; wipe out corporate loopholes and cronyism that come in the form of tax breaks for favored industries; and provide sales tax rebates or “pre-bates
to low-income households. When states grow, property taxes and sales taxes are multiplied by a growing gross state product, which in turn increases government revenue and its ability to provide more social services.