Critique (red) is inserted within the text of Ron Paul’s four point plan.

RON PAUL’S “COMPREHENSIVE ECONOMIC REVITALIZATION PLAN”:

Introduction

America became the greatest, most prosperous nation in human history through low taxes, constitutionally limited government, personal freedom and a belief in sound money. We need to return to these principles so our economy can thrive again. When enacted, my plan will provide both short-term stimulus and lay the groundwork for long-term prosperity.

Other candidates talk a lot about stimulus packages, but my record stands alone. I have fought for these measures for years as a member of Congress and will make them a top priority as president.

Ron Paul, a 10-term Republican Congressman from Texas’s 14th District, is currently the ranking member of the House Financial Services Committee’s Subcommittee on Domestic and International Monetary Policy, Trade, and Technology. He has been named “Taxpayers’ Best Friend” for 10 consecutive years by the National Taxpayers’ Union. Ron Paul is also the author of several books on monetary policy and economics.

The Four-Point Plan

1. Tax Reform: Reduce the tax burden and eliminate taxes that punish investment and savings, including job-killing corporate taxes.
2. Spending Reform: Eliminate wasteful spending. Reduce overseas commitments. Freeze all non-defense, non-entitlement spending at current levels.
3. Monetary Policy Reform: Expand openness at the Federal Reserve and require the Fed to televise its meetings. Return value to our money.
4. Regulatory Reform: Repeal Sarbanes/Oxley regulations that push companies to seek capital outside of US markets. Stop restricting community banks from fostering local economic growth.

1. Tax Reform
   1. Eliminate Taxes on Dividends and Savings. The basis of capitalism is savings, and Americans who do so should be rewarded.
      • Pass HJ Res. 23 to encourage savings over consumption.
   2. Repeal the Death Tax. Attacking small businesses and breaking up family farms smothers growth and kills jobs.
      • Pass H.R. 2734 to make the Bush tax cuts permanent.
   3. Cut Taxes for Working Seniors. Grandmothers and grandfathers working to make ends meet should keep all the fruits of their labor.
      • Pass H.R. 191 to amend the Internal Revenue Code of 1986 to repeal the inclusion in gross income of Social Security benefits.
   4. Eliminate Taxes on Social Security Benefits. That money belongs to seniors, not the government. They paid into the system for a lifetime, and they should be free to spend every penny as they see fit.
      • Pass H.R. 192 to amend the Internal Revenue Code of 1986 to repeal the 1993 increase in taxes on Social Security benefits.
   5. Accelerate Depreciation on Investment. We need to help companies grow and create jobs.
      • Pass H.R. 4995 to amend the Internal Revenue Code of 1986 to reduce corporate marginal income tax rates.
   6. Eliminate Taxes on Capital Gains. Investment should be embraced and rewarded.
      • Pass H.J. Res 23 (The ?Liberty Amendment?), proposing an amendment to the Constitution of the United States relative to abolishing personal income, estate, and gift taxes and prohibiting the United States Government from engaging in business in competition with its citizens.
   7. Eliminate Taxes on Tips.The single parents and working students who earn their income chiefly through tips deserve to keep all of their money. This tax on “estimated income” is unfair and should be ended.
      • Pass H.R. 3664 to amend the Internal Revenue Code of 1986 to provide that tips shall not be subject to income or employment taxes.
   8. Support the Mortgage Cancellation Relief Act. Working families who lost their homes should not be punished a second time with a big IRS bill.
      • Pass H.R. 1876 to amend the Internal Revenue Code of 1986 to exclude from the gross income of individual taxpayers discharges of indebtedness attributable to certain forgiven residential mortgage obligations.

   mike montagne:

   Mathematically perfected economy™ eliminates all these taxes. Moreover, by refinancing debt, mathematically perfected economy™ dramatically reduces the costs of government by eliminating interest on existent debt (by some accounts, more than 1/3 of present taxes).

   What happened to elimination of the IRS?

2. Spending Reform
   1. Reduce Overseas Military Commitments. Our bases and troops should be on our soil.
      • It’s time to stop subsidizing our trading partners in Europe, Japan and South Korea.
   2. Freeze Non-Defense, Non-Entitlement Spending at Current Levels
      • I vote against all bloated, pork laden spending bills and will veto them as president.

   mike montagne:

   Mathematically perfected economy™ dramatically reduces the costs of industry and government by eliminating interest on debt — making these propositions trivial.

3. Monetary Policy Reform
   1. Televise Federal Open Market Committee Meetings. An institution as powerful as the Federal Reserve deserves full public scrutiny.
      • Pass H.R. 2754 to require the Board of Governors of the Federal Reserve System to continue to make available to the public on a weekly basis information on the measure of the M3 monetary aggregate and its components.
   2. Return Value to Our Money. Legalize gold and silver as a competing currency.
      • Level the long-term boom and bust business cycle by passing H.R. 4683, which would repeal provisions of the federal criminal code relating to issuing coins of gold, silver, or other metal for use as current money and making or possessing likenesses of such coins.

   mike montagne:

   Retaining interest ensures further multiplication of debt. What happened to dissolving the so called Federal Reserve System — a wholly unjust system which even President Wilson admitted to have ensured the ruin of the American people? If we dissolve the so called Federal Reserve System and replace it with a proper solution, whatever benefit exists in watching the Open Market Committee?

   Dr. Paul continues to ignore my warnings that honored precious metal monetary standards have no power whatever to sustain circulations exceeding monetary reserves, as is vital to sustaining commerce requiring a circulation exceeding monetary reserves. The unqualified bias toward finite monetary reserves has never been historically demonstrated to succeed; in fact, on the contrary, the often repeated failure of finite monetary reserves to sustain commerce above and beyond the reserves is the very reason every finite monetary standard in history has eventually been given up for a fractional reserve!

   Moreover, further critical faults in this proposition exist:

   1. As far more circulation has been issued than monetary reserves, it is mathematically impossible to restore the gold standard or any facsimile thereof, without multiplying the ostensible value of gold, not just at the outset of the proposed non-solution, but continually, throughout time. Who then would want to possess currency, when currency must perpetually be devalued to perpetuate a false standard which not only cannot preserve the value of currency, but in fact must continually debase the value of currency?

      As a friend observed, “eventually a house would be worth a speck of gold dust.” Immediately thereafter, it would be “worth” a fraction of that.

   2. Moreover, if we were to redeem the present currency in the monetary standard, we would immediately find our reserves vanished, for no one would hold a soon-to-be-discovered instrument of failure embodied in worthless paper, when instead they could possess precious metal.
   3. Present evidence exists that our monetary reserves may already have been criminally “leveraged” by the so called Federal Reserve. These reserves may not even exist in any form which make them available to the people.
   4. Retaining interest empowers the issuer of the privatized currency to take over all monetary reserves.
   5. The gold standard, or any facsimile thereof, has no power whatever to solve perpetual, irreversible multiplication of debt — the process which itself engenders collapse.
   6. Only mathematically perfected economy™ solves and accounts for all these issues.
4. Regulatory Reform
   1. Repeal Sarbanes/Oxley. It has seriously wounded our capital markets and helped make the UK a financial center at our expense.
      • Ending these misguided regulations would bring jobs flooding back to the United States.
      • Pass H.R. 1049 to reform Sarbanes-Oxley and reduce the burden it places on small businesses.
   2. Repeal or Remove Costly and Unnecessary Federal Regulations. Neighbors know best how to help their neighbors.
      • We need to make it easier for community banks, credit unions, and other financial institutions to better serve their communities and to help people in these communities get access to credit and capital.
      • Pass H.R. 1869 to enhance the ability of community banks to foster economic growth and serve their communities, boost small businesses, increase individual savings, and for other purposes.

   mike montagne:

   Nothing here comes close to mathematically perfected economy™ in terms of potential to create jobs or fund new industry. Just refinancing real property under mathematically perfected economy™ would itself free up perhaps 10x as much spendable income to devote to further prosperity. But to make further funding available to industry under mathematically perfected economy™ is at once to make funding possible and to make the efficiency of the funding and the industrial advantage of the American people far greater than the possible reach of these trivial propositions.

RELATED MATERIAL

1. DEBATE/DISCUSS THIS BLOG IN OUR NEW MPE FORUM !
2. WHAT IS SOUND MONEY? WHY PRECIOUS METAL MONETARY STANDARDS CAN ONLY FAIL
3. Ron Paul 2008’s Posting of RON PAUL’S ‘COMPREHENSIVE ECONOMIC REVITALIZATION PLAN’
4. PARABLE OF PERFECT ECONOMY — HOW USURY COMPELLED THE AMERICAN REVOLUTION
   
   [MOST POPULAR PAGE, MANDATORY READ, AND A GOOD ALTERNATE STARTING POINT BEFORE JUMPING TO TOP.]
5. PROBABILITY OF WORLD-WIDE ECONOMIC COLLAPSE AS A CONSEQUENCE OF INTEREST
   
   [A PRINCIPAL REASON FOR MPE™; POPULAR PAGE.]
6. WHAT IS Mathematically Perfected Economy™?
   
   [POPULAR PAGE.]
7. WHY AND HOW USURY HAS BEEN IMPOSED ACROSS THE WORLD
8. PURPOSES OF THE DECEPTION THAT INFLATION IS CONTROLLED BY INTEREST (USURY)
   
   [MANDATORY READ.]
9. RELEVANT HISTORIC QUOTES
   
   [POPULAR PAGE; AN EXTENSIVE HISTORIC PATTERN.]
10. THE FALSIFIED ARGUMENT THAT RISK JUSTIFIES INTEREST (USURY)
    
    [MANDATORY READ.]
11. WHAT IS FREE ENTERPRISE?
    
    [MANDATORY READ.]
12. WHAT IS SOUND MONEY? WHY PRECIOUS METAL MONETARY STANDARDS CAN ONLY FAIL
    
    [MANDATORY READ.]
13. WHAT IS USURY?
    
    [MANDATORY READ; EXPLAINS THAT INTEREST CAN ONLY ENGENDER USURIOUS DEBT.]
14. Why Pre-MPE™ Austrian School *Thinking* Can Never Solve Our Issues
15. A FATAL FLAW OF AUSTRIAN SCHOOL ECONOMICS — COMPLETE REJECTION OF MATHEMATICS?
    
    [MANDATORY READ; RELEVANT TO CURRENT ELECTION.]
16. REGARDING INTEREST THEN, DOES AUSTRIAN SCHOOL ECONOMICS NOT HAVE TITLE TO LIBERTY AND RIGHT REVERSED?
    
    [MANDATORY READ; RELEVANT TO CURRENT ELECTION.]
17. Austrian Economics
    
    Deborah L. Walker, Library of Economics and Liberty, Concise Encyclopedia of Economics
18. Capital and Interest: A Critical History of Economical Theory
    
    B?hm-Bawerk, Eugen von (1851-1914)
    1. The Opposition to Interest in Classical and Medieval Times
    2. The Defence of Interest From the Sixteenth Till the Eighteenth Century
    3. Turgot’s Fructification Theory
    4. Adam Smith and the Development of the Problem
19. Google Austrian School Economics in a separate tab or window

This entry was posted on Tuesday, February 5th, 2008 at 12:11 am and is filed under Mathematically Perfected Economy, RON PAUL, UNASSENTED GLOBALISM, theory and implementation. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response or trackback from your own site.