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Our Trade Deficit

We have a huge trade deficit, no one will arguing with that, but the question is: "What should we do about it?"

Should we implement protectionism (isolationism)?  Which will cause our 4.5 unemployment rate to go through the roof.  Protectionism (isolationism) will cause prices to rise dramatically, and for companies to be able to afford those prices they either won't be able to pay their employees as much, or they won't be able to hire as many employees.  Therefore, that would cause more people to be out of work.  That just doesn't make sense to me.

Or should we:

  1. Work to open more markets;
  2. Promote Economic Freedom;
  3. Promote Democratic Reforms;
  4. Control Spending;
  5. Keep Taxes Low; and
  6. Fix the Budget Deficit;

Yes we have a huge trade deficit, but it obviously isn't effecting our huge job growth and our huge economic growth.  So why should we implement something, protectionism (isolationism), that would screw our job and economic growth?  It doesn't make sense to me.

Our trade deficit proves that America out produces EVERYONE!  So wouldn't that mean we ought to go abroad and work to open more markets, promote economic freedom, and promote democratic reforms?  And wouldn't that mean we ought to control our spending, keep taxes low, and fix our budget deficit?  That makes way more sense to me.

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Larry Kudlow's Quick Take

 http://www.kudlow.com/

 

Kudos Mr. Paulson

March 8, 2007

Treasury Secretary Henry Paulson is doing the Lord’s work in Asia this week.

He’s over in China, trying to pry open their markets and get them to drop their barriers to trade. And he’s telling them to stop pirating our copyrights and patents. He’s also pushing for more liberalization and deregulation.

At the same time, he’s been out defending the Bush boom, and for that matter, the capitalist boom spreading like wildfire in emerging countries throughout the world.

As the powerful former chairman and CEO of Goldman Sachs, this former investment banker carries a lot of weight in international circles. He’s winning points everywhere.

Our hat is off to him.

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GOP Protectionists!

Read Jack Kemp's lastest Wall Street Journal column "GOP Protectionists"!

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North American Security & Prosperity: An Eleven Point Plan

An Eleven Point Plan to North American Security and Prosperity, for each North American sovereign country to implement individually:

  1. Secure their Own Borders and Ports (and whatever else needs securing);
  2. Establish or Strengthen the Rule of Law - Without the rule of law, economic freedom, personal liberty, and civil society are restricted, which increases economic risk thus reducing the potential for economic growth;
  3. Protect Private Property - Private property is the foundation of wealth. If private property is not well protected, the incentives to work, save, and invest will be greatly diminished. Historically, people obtained private property by either buying or improving land and structures which added value. In the modern world, property is often intangible, resulting from the creation of such things as new art, music, literature, computer software, new pharmaceuticals, and other technologies. Those who create intangible property have the same right to full protection as farmers and homeowners do with their real property;
  4. Remove ALL Price Controls - Prices are information. They allocate scarce resources and motivate future protection of those resources. Price controls eliminate the information that is necessary for rational economic decision making. Free markets, where prices are determined by supply and demand and where there are few restrictions on the buying and selling of goods and services, are in almost all cases superior – in terms of economic efficiency, resource distribution, and liberty – to any form of “managed” markets;
  5. Establish International Free Trade (NAFTA) - Free trade among nations raises the level of economic well-being in all countries involved by improving the allocation of resources and increasing the extent of the market, thus lowering costs;
  6. Limit Government Spending - Any government spending, where the costs exceed the benefits, and the cost-benefit ratio is inferior to a private sector alternative, reduces the general welfare of the people, rather than enhancing it;
  7. Limit Taxation - Taxes reduce the incentives to work, save, and invest; thus reducing the supply of labor and capital, and thereby lowering the amount of investment and production. For every tax, there is a revenue maximizing rate; and when that rate is exceeded, government is left with less, rather than more, revenue. Taxes also reduce individual liberty by taking away the freedom to keep the fruit of one’s labor and capital;
  8. Limit Government Regulation - Regulations almost always create costs, including the costs of loss of freedom; and if the benefits from the regulation do not exceed the costs, the people are worse off as a result of the regulation;
  9. Remove Barriers to Business Formation - Entrepreneurs create most productive new jobs and many useful and desirable innovations. Government-imposed, costly, and time consuming restrictions on business formation unnecessarily reduce the number of new businesses, jobs, and innovation;
  10. Encourage Ownership - People take better care of and manage real or intangible property better when they own it, whether it is a home, business, farm, pension, or medical savings account. Government policies that foster ownership lead to greater social stability and responsibility, which enhances the environment for investment, resulting in more economic growth; and
  11. Allow the Use of Sound Money - Stable money, which neither gains (deflates) or loses (inflates) value, is necessary to maximize economic growth. Unstable money (by adding to uncertainty) increases risks to businesses, workers, and consumers and results in lower levels of investment, job creation, and economic well-being. Governments which are unable to provide sound money should allow their citizens to use other government or privately produced monies (including gold and other commodities) for both transactions and contractual obligations.

North America doesn't need the Security and Prosperity Partnership (SPP).  All they would have to do is implement my Eleven Point Plan to North American Security and Prosperity.

I am calling on the Leaders of the United States of America, Canada, and Mexico to abolish the SPP, and to implement my Eleven Point Plan.

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American Solutions for Winning the Future

Watch the American Solutions for Winning the Future commercial here!

Or watch the commercial here!

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Watch Newt Gingrich Live on Feb 28th!

Watch Newt Gingrich LIVE on February 28th by click here!

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Hollywood Actor Endorses A Gingrich Candidacy/Presidency!

Christian conservative Hollywood actor Chuck Norris endorses former Speaker of the House Newt Gingrich for President in 2008!

<
http://www.worldnetdaily.com/news/article.asp?ARTICLE_ID=54099>

Newt Gingrich hasn't officially announce whether is will run for President in 2008, but a CHRISTIAN conservative has already endorse a Gingrich candidacy/presidency!

Chuck Norris' websites are:

  1. www.chucknorris.com
  2. www.kick-start.org
  3. www.worldcombatleague.com
  4. Norris' columns: http://www.worldnetdaily.com/news/archives.asp?AUTHOR_ID=274

Newt Gingrich's websites are:

  1. www.newt.org
  2. www.americansolutions.com
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The Capitalist Report: Victory in Iraq Strategy

Key Steps to Victory in Iraq from Newt Gingrich's Testimony to the Senate Foreign Relations Committee:

 
 
1. Place General Petraeus in charge of the Iraq campaign and establish that the Ambassador is operating in support of the military commander!

2. Since General Petraeus will now have responsibility for victory in Iraq all elements of achieving victory are within his purview and he should report daily to the White House on anything significant which is not working or is needed!

3. Create a deputy chief of staff to the President and appoint a retired four star general or admiral to manage Iraq implementation for the Commander in Chief on a daily basis!

4. Establish that the second briefing (after the daily intelligence brief) the President will get every day is from his deputy chief of staff for Iraq implementation!

5. Establish a War Cabinet which will meet once a week to review metrics of implementation and resolve failures and enforce decisions. The President should chair the War Cabinet personally and his deputy chief of staff for Iraq implementation should prepare the agenda for the weekly review and meeting!

6. Establish three plans: one for achieving victory with the help of the Iraqi government, one for achieving victory with the passive acquiescence of the Iraqi government, one for achieving victory even if the current Iraqi government is unhappy!  The third plan may involve very significant shifts in troops and resources away from Baghdad and a process of allowing the Iraqi central government to fend for itself if it refuses to cooperate!

7. Communicate clearly to Syria and Iran that the United States is determined to win in Iraq and that any further interference (such as the recent reports of sophisticated Iranian explosives being sent to Iraq to target Americans) will lead to direct and aggressive countermeasures!

8. Pour as many intelligence assets into the fight as needed to develop an overwhelming advantage in intelligence preparation of the battlefield!

9. Develop a commander's capacity to spend money on local activities sufficient to enable every local American commander to have substantial leverage in dealing with local communities!

10. Establish an Iraqi Jobs Corps or Civil Conservation Corps of sufficient scale to bring unemployment for males under 30 below 10% (see the op-ed by Mayor Giuliani and myself on this topic - http://www.newt.org/backpage.asp?art=3963 )!

11. Expand dramatically the integration of American purchasing power in buying from Iraqi firms pioneered by Assistant Secretary Paul Brinkley to maximize the rate of recovery of the Iraqi economy!

12. Expand the American Army and Marine Corps as much as needed to sustain the fights in Iraq and Afghanistan while also being prepared for other contingencies and maintaining a sustainable rhythm for the families and the force!

13. Demand a war budget for recapitalization of the military to continue modernization while defeating our enemies!  The current national security budget is lower as a percentage of the economy than at any time from Pearl Harbor through the end of the Cold War!  It is less than half the level Truman sustained before the Korean War!

14. The State Department is too small, too undercapitalized and too untrained for the demands of the 21st century!  There should be a 50% increase in the State Department budget and a profound rethinking of the culture and systems of the State Department so it can be an operationally effective system!

15. The Agency for International Development is hopelessly unsuited to the new requirements of economic assistance and development and should be rethought from the ground up!  The Marshall Plan and Point Four were as important as NATO in containing the Soviet Empire!  We do not have that capability today!

16. The President should issue executive orders where possible to reform the implementation system so it works with the speed and effectiveness required by the 21st century!

17. Where legislation is needed the President should collaborate with Congress in honestly reviewing the systems that are failing and developing new metrics, new structures and new strategies!

18. Under our Constitution it is impossible to have this scale of rethinking and reform without deep support from the legislative branch. Without Republican Senator Arthur Vandenburg, Democratic President Harry Truman could never have developed the containment policies that saved freedom and ultimately defeated the Soviet Empire!  The President should ask the bipartisan leaders of Congress to cooperate in establishing a joint Legislative-Executive working group on winning the war and should openly brief the legislative branch on the problems which are weakening the American system abroad! Only by educating and informing the Congress can we achieve the level of mutual understanding and mutual commitment that this long hard task will require!


I wanted to add one thing to Newt's 18 Key Steps to Victory in Iraq...

  1. The Iraqi Federal Government needs to establish Business Freedom, Trade Freedom, Fiscal Freedom, Freedom from Government, Monetary Freedom, Investment Freedom, Financial Freedom, Private Property Rights Protection, Freedom from Corruption, and Labor Freedom.
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Join American Solutions

Instead of indorsing and joining specific 2008 Republican presidential candidates right now...

Let's indorse and join Newt Gingrich's American Solutions for Winning the Future!

www.americansolutions.com

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