Thursday, July 07, 2005

Deficit tide ebbing"The good news this week is the unexpected surge in federal tax revenues that is slashing the federal budget deficit by about $100 billion. This is especially welcome news to supply-side tax-cutters who argued all along that lower tax rates spur stronger economic growth, which, in turn, creates more jobs that increases tax revenues. That is happening now. It's embarrassing news for President Bush's diehard Democratic critics, who predicted his tax cuts would worsen the budget deficits and drive the government deeper into debt. They argued throughout last year's elections that the tax cuts failed to grow the economy, create jobs or improve fiscal health. "

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