Submitted by Sherry Wernicke, Riverside
If you listened to the Republican party, whether local or national, you would think only they can save our country from fiscal ruin. Cutting taxes, spending, and regulations is the only way to promote growth. Give us power and we will lead you to financial bliss. I’ve heard the same story my entire life. This myth has been so ingrained in our society that when you survey people, the majority will say Republicans are better for the economy.
But contrary to popular belief, tax and spending cuts slow market growth and labor productivity. Government spending actually leads to higher GDP and jobs. Higher taxes DO NOT slow the economy. All you have to do is look at actual data, yes FACTS, going back since WWII to see this is one of the biggest myths ever perpetrated on the American people!
Government investment in ordinary Americans is better for the economy than handing more money to the wealthy. The Republican pattern is to cut taxes for the wealthy and then, when deficits increase, as they will, complain there is no money for social welfare programs. Unlike supply-side economics of the Republicans, the Democrats’ version actually works.
FACT: Private sector job growth has been 2 ½ times faster under Democrats.
FACT: GDP has grown 1.6 times faster under Democrats.
FACT: The Stock Market has substantially risen under Democrats, 9.4% vs 6.6%.
FACT: Unemployment has been substantially lower under Democrats, currently at a 50 year low.
FACT: Out of 17 recessions over the last 100 years, 13 of them were under Republicans.
FACT: Republican presidents since Reagan have exploded the deficit, while Democrats have brought it down.
The deficit this year fell by $1.4 trillion. This was the largest-ever decline in the federal deficit and last year’s drop was $350 billion. In contrast, the deficit climbed every year of the Trump presidency, including in the years before the pandemic. Trump and the Republicans added $400 billion to the deficit, primarily because of their $2 trillion tax cut for the wealthy and for corporations.
President Clinton actually created more jobs than Reagan and both Bushes combined! Trump inherited a booming economy from Obama and proceeded to squander it with his tax cuts for the wealthy and corporations and his failed actions on Covid.
We currently have a perfect example of how cutting taxes and spending in times of inflation leads to disaster. Just look at the UK. Truss came into power on the promise to unleash growth with the same policies our CT Republicans want to implement. Instead, the right-wing economic dogma sent the markets into a tailspin, the pound crashing, and pension funds struggling to stay solvent. The cuts had to be reversed and the Bank of England had to take action. She has since resigned. In addition, the isolationist policies of Brexit – applauded by Republicans – is also a big contributor to the crash.
But apparently the group of candidates running on the Republican ticket in CT are not heeding the UK warning or history. They want you to believe that the bottom is falling out of our economy and only they can swoop in and save us. For example, Senator Fazio’s three-step plan for a growing economy is to cut taxes, give tax relief, cut regulations and pay for it all with limiting spending growth and using money from Lamont’s surplus.
So again let’s look at the facts. While the state has been down for so long and we have a ways to go, the past 4 years have seen a path forward and the trend is positive. We’ve paid down over $5 billion in debt, freeing up millions in interest payments, and garnering A+/AA bond ratings, lower borrowing cuts. We’ve had historic tax cuts of $640 million (which Fazio voted against). We have multiple businesses moving into the state bringing thousands of jobs with them. In fact, 79,000 more people are working this year than last. Unemployment sits at 1.5% and while we have 110,000 unfilled jobs, Fazio voted against expanding free tech school for CT residents who could help fill these jobs.
Our economy has not shrunk this year by 4.7% as Republicans grabbed onto. When revisions occurred as they often do, the economy actually grew by 5.5%. And Lamont DID NOT raise taxes by $2 billion as they claim and you see in ads. It simply did not happen.
Finally, while I realize inflation is a major concern of residents, it has nothing to do with the policies of the Lamont administration. It is global not a CT or US issue and due mainly to corporate profits (54%), supply disruptions and shortages from the pandemic, pent up demand, price gouging, Ukraine, and higher energy prices. Dare I add Trump’s tariffs on imported goods to this mix and the slow walk to address the pandemic.
We are fortunate to have an amazing alternative to Ryan Fazio’s same old policies, Trevor Crow. She not only has worked on Wall Street but is a mental health professional dealing directly with families. She recognizes that to keep CT growing we need to reinvest in our communities and continue to bring more businesses to the state. Both will help to create jobs and lower taxes, but doing so in a way to allow our local businesses and families to flourish and not crash our economy.
You have a choice on November 8; vote for the myth that has repeatedly failed or vote with the facts. Please choose wisely and elect Democratic candidates. Your fiscal health literally depends on your vote.
NOTE: The deadline for submitting letters to the editor regarding the Nov 8, 2022 election is Nov 1 by 12:00 noon.