Republican Debate - 1/10/08 - 3

Economy
Romney - economy - 4 points - missed them...
McCain - starts out tough -- gotta tell the truth -- straight talk -- there are some jobs that aren't coming back -- we need to take care of them -- community college solution to meet needs of IT revolution -- economic fundamentals are strong, we're in a rough patch

R&D is long term, what kind of short term govt. fixes would you propose? Would you support if they add to the deficit? 1 - We need to stop out of control spending. 2 - stop sending 400b overseas to oil producing companies (how?). Will veto pork barrel -- saved 6b dollars for the taxpayers--won't be Ms. Congeniality

Economic stimulus package?
Huckabee -- I hope we're not headed toward a recession, but if we are, this is why: 1. Gas prices - everything costs more due to transporation costs -- we need to become energy independent, 2. Sub-prime mortgage crisis, 3. health care and 4. education costs. People are not getting ahead.

1. Don't raise taxes, cut marginal rates, go to Fair Tax

You proposed a tax cut to increase revenues-many don't believe they do
Rudy - Some tax cuts do add to revenues, others don't. Cuts lead to significant increase in productivity -- Club for Growth approves -- Cut corporate tax will produce more -- it can't be anti-competitive. Must be willing to cut spending - like Ronald Reagan --

Do you believe tax cuts pay for themselves?
McCain - They stimulate economy. Must make tax cuts permanent. Was part of the Reagan revolution...he knew we had to cut spending at the same time...we failed.

Govt. program to stimulate economy?
Paul - What kind of program? If we don't do the right thing...we will go into recession...and it will last for a long time. Easy credit train people to do the wrong thing...we have to know the Austrian theory of the business cycle...the housing market is in depression and the dollar is down...artificially low interest rates cause the bubble, which brings on the recession

Tax plan wouldn't help in the short term, what should we do?
Thompson - The govt. never loses as much revenue as the "experts" say they're going to. It does stimulate growth. Problems: Unemployment up to 5%, Subprime into the general market, consumer credit market in general is affected b/c money is getting tighter and tighter...we don't know about recession...we need to count on the Fed to do the right thing...speed up depreciation schedules, deduction for capital expenses...lower income people don't pay taxes to start with, so we have to do something there...we need to make the tax cuts permanent.

Reagan coalition is gone...You're not running another Reagan term..
Huckabee - That's not what I said, said another Bush term. Reagan coalition...middle class doesn't feel that they are a part of the party as they should...lower taxes, cut spending, strong national defense, strong pro-life, 2nd Am is just as important as the first. I was part of that coalition. We need to recapture it...our party is just as interested in helping the people at the bottom as at the top.

Footsoldier in the Reagan army
McCain -- Reagan principles we've gotten away from. '94 we came to change govt. and govt. changed us -- "bridge to nowhere" - example -- abandoned environmental principles established by Teddy Roosevelt -- return to principles of less govt. lower taxes. family values. strong defense. which helped us in bring down the Iron Curtain

Coverage for abortion services on a national level?
Romney -- The decision to include abortion was required by the court -- my term was pro-life -- nation Right to Life awarded me because of my decisions...the only way to take the White House is to go back to Reagan principles. Not only the White House, but keep America strong. Examples of Reagan's strength.