When I speak with my father in law about politics, he often jabs me with something along the lines of, ‘you know the whole country thinks California’s a joke, right?’ Or, ‘you know the country is laughing at California government and how broken your state is, right?’ I don’t think his ill feelings toward me for stealing his daughter away to the other side of the country are talking. I believe he’s right. California has become a joke. But, it’s a dark comedy. Serious people are starting to call the golden state a ‘failed state.’
Why? What’s happened? Who’s responsible? The state legislature has been in Democratic Party control since 1970. As is stereotypical, the ‘progressive’ democratic-led state government has sought to redistribute the wealth within California by setting the highest state income tax rates in the country.
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When a state tries to redistribute the wealth (Click for WSJ article)
CA voters have made matters worse by not being able to say no to just about any ballot initiative that increases borrowing or taxing to fund hundreds of programs that 1) simply don’t exist in other states or 2) are managed way more efficiently in other states.
So, what should a state do to avoid or get itself out of this self-destructive cycle? Reduce government and cut taxes. The other day I posted a past prominent conservative’s perspective on the role of government, Ezra Taft Benson. Today, I share some thoughts on taxes and the economy from one of America’s and the Progressive’s most iconic spokesmen, John F. Kennedy:

JFK: Author of Conservative Reaganomics?
“It is a paradoxical truth that tax rates are too high and tax revenues are too low and the soundest way to raise the revenues in the long run is to cut the rates now … Cutting taxes now is not to incur a budget deficit, but to achieve the more prosperous, expanding economy which can bring a budget surplus.”
– John F. Kennedy, Nov. 20, 1962, president’s news conference
“Lower rates of taxation will stimulate economic activity and so raise the levels of personal and corporate income as to yield within a few years an increased – not a reduced – flow of revenues to the federal government.”
– John F. Kennedy, Jan. 17, 1963, annual budget message to the Congress, fiscal year 1964
“In today’s economy, fiscal prudence and responsibility call for tax reduction even if it temporarily enlarges the federal deficit – why reducing taxes is the best way open to us to increase revenues.”
– John F. Kennedy, Jan. 21, 1963, annual message to the Congress: “The Economic Report Of The President”
“It is no contradiction – the most important single thing we can do to stimulate investment in today’s economy is to raise consumption by major reduction of individual income tax rates.”
– John F. Kennedy, Jan. 21, 1963, annual message to the Congress: “The Economic Report Of The President”
Our tax system still siphons out of the private economy too large a share of personal and business purchasing power and reduces the incentive for risk, investment and effort – thereby aborting our recoveries and stifling our national growth rate.”
– John F. Kennedy, Jan. 24, 1963, message to Congress on tax reduction and reform, House Doc. 43, 88th Congress, 1st Session.
“A tax cut means higher family income and higher business profits and a balanced federal budget. Every taxpayer and his family will have more money left over after taxes for a new car, a new home, new conveniences, education and investment. Every businessman can keep a higher percentage of his profits in his cash register or put it to work expanding or improving his business, and as the national income grows, the federal government will ultimately end up with more revenues.”
– John F. Kennedy, Sept. 18, 1963, radio and television address to the nation on tax-reduction bill
“This administration pledged itself last summer to an across-the-board, top-to-bottom cut in personal and corporate income taxes … Next year’s tax bill should reduce personal as well as corporate income taxes, for those in the lower brackets, who are certain to spend their additional take-home pay, and for those in the middle and upper brackets, who can thereby be encouraged to undertake additional efforts and enabled to invest more capital … I am confident that the enactment of the right bill next year will in due course increase our gross national product by several times the amount of taxes actually cut.”
– John F. Kennedy, Nov. 20, 1962, news conference
What would happen to California’s economy if we followed JFK’s message here? What would happen to the country if Obama spoke these words at his state of the union?