Stephen Moore

The most desirable method of financing the transition to personal retirement accounts is to modestly reduce the growth rate of federal spending. Raising taxes would harm the economy. And future benefit cuts are wholly unnecessary, not only because they would do nothing to bridge the short-term financing gap, but also because the eventual proceeds from large personal accounts would more than offset any savings gained from cuts in promised benefits.

In the past three years, the federal budget has exploded by more than one-half trillion dollars, under a Republican Congress and a Republican president. This paper presents a specific strategy for cutting programs and streamlining government. The benefits of a reduction in government size and modernization of government mission would be enormous—a windfall that would lower the tax burden and fund new, critical policy initiatives.

Government growth negatively correlates with economic success. By every conceivable measure, the U.S. government has grown larger than ever and almost certainly larger than necessary. A simple, transparent tax code would restrain the growth of government by allowing taxpayers to make rational cost-benefit decisions based on the price they are paying for government.

A capital gains tax cut would reliably stimulate economic growth. Historically, there is a strong relationship between capital gains tax cuts and overall economic growth. Over the past 30 years, every time the capital gains rates have been cut, capital gains revenues have risen. And now that almost half of all Americans own stock, a capital gains tax cut can no longer be said to benefit only “the rich.”

The September 1999 issue of IPI Insights. Special Education Issue. Articles by Stephen Moore, Georege Pieler, Michael J. Patrilli and Greg Vanourek.

Articles include "Congress' UpHill Challenge," "RIP: The Taxpayer Relief Act of 1998," "Paygo: A Rule Made to Be Broken," "Divorcing the Marriage Penalty," and "Despite Balanced Budget, Signs of Trouble." Facts on the Growth of Government: The Coming Social Security Crisis.

This paper summarizes the three major arguments against continued U.S. involvement in the IMF.

 Recently released figures lead us to estimate that the federal budget surplus could be roughly $1 trillion higher than Congress expected when it drafted the bi-partisan budget deal at this time last year. We believe that at least half of this $1 trillion windfall (but preferably all of it) should be returned to taxpayers via a very large tax cut enacted immediately.

Articles include cover story celebrating IPI's Tenth Anniversary Banquet featuring Steve Forbes and Dr. Walter Williams. Dr. Williams' transcript is included as a newsletter article. Other articles: "Balancing the Budget--But at What Cost?" and "The Unmaking of the Constitution." Facts on the Growth of Government: The Balanced Budget: Not Necessarily Good News.

In this report, economist Stephen Moore compares the budget requests of presidents Gerald Ford through Bill Clinton. Among the interesting findings are these: (1) The bulk of the deficit that built up during the Reagan administration was due to Congressional appropriations, not Reagan budget requests. Had Reagan's vetos been upheld, and his recissions honored, the deficit would have been significantly lower; and (2) that Bill Clinton is the first president in a generation to outspend Congress, outspending both the Democrat 103rd Congress, and the Republican 104th Congress.