INTRODUCING MTA’S NEW BLOG
January 17, 2008 by mdtaxesThis is MTA’s first official blog entry. As a sort of inauguration, an overview is in order. The Maryland Taxpayers Association is, of course, concerned with “too high” taxes. Simple! Right! Not quite!
When taxes are too high and they are cut, especially those types of taxes that are most sensitive to the economy, the government can and has received more revenues than ever before. Tax cuts remove impediments to business and jobs. Marginal rate cuts on income taxes have been very effective in jump starting the economy.
Regulations are another type of tax. In 2002, MTA director, Ed Hudgins, who heads the Objectivist Center in Washington, D.C., and is a nationally recognized expert on regulation, estimated that regulations then cost Maryland about $17 billion. Some amount of these regulations are doubtless not cost effective and should be repealed. Repeal $2 billion worth and you would have a positive, tax-cutting effect.
Just about everything that the state legislature or county governments do can have economic effects for better or worse. Dreaming about our elected representatives looking out for us traditional citizens?
The following is a short list of what may await us as state legislators convene in Annapolis:
Ø More spending: In total, about 6%, a stunning increase (way beyond inflation plus the rate of population growth). Will you benefit? Or is more pain to come?
Ø Immigration: especially illegal issues. Drivers’ licenses. Motor voter. Non-citizen voters. In-state tuition. Welfare. Health care.
Ø Health: further socialization of medicine. Who will pay? Will one payer (the government) be better than a bunch of competing insurers?
Ø Education: Does more money create better outcomes? A realist would say no. Competition does. Yet, Maryland is a Johnny-come-lately to competing schools. Charter schools do better, but have to struggle against entrenched interests to stay afloat.
Ø Energy, global warming (climate change): Get ready for hidden taxes on your utility bills to save humans from ourselves. Also, higher auto costs, more light rails, more Smart Growth rules. All of these will affect our lives, from home costs to jobs.
Ø Slots: A referendum will be on the ballot in November.
In short, on a scale of 0 to 10, with 0 being a total Big Brother planned economy and 10 being free market, moves further to the left will lead eventually to poverty while moves in the other direction will move to greater prosperity.
So we intend to talk about many things. And provide you with hard-core facts. Hopefully, the discussion will be both fun and thoughtful, even “spicy.”
-Dee Hodges
