Where do they stand on the economy and issues?: Bush v Kerry

Sun, 26 Sep 2004 00:30:00 GMT

By Aaron Marquis

courtesy of krtcampus

We live in a society of people who do not follow political news and often only see potential presidential candidates in political ads. Political ads are designed more to confuse and politicians talk in sound bites, doing little to actually educate listeners. Combine these facts with Gallup polls stating that the economy, another blurry topic, is the number one or two concern for Americans and you have a problem. It helps however to look at where the political parties stand on such issues. The Republican Party takes the “less-is-more” approach when it comes to government being involved in business. The party always has advocated lowering taxes for individuals and businesses, which, in theory, gives American people money to spend and in turn sends dollars back to businesses. "When we let the American people keep more of what they earn and save, they put that money to good use," President Bush said during his weekly radio address. "They demand more goods and services, which creates demand for new workers." However, this view many critics argue contribute to a lack of regulation. This, combined with lower taxes allows companies to move jobs overseas and lay off workers making larger profits for those at the top of the ladder. Democrats believe that the government must enforce certain rules and regulations to ensure that businesses give workers their share of the profits it makes. Usually, this has meant support for workplace regulations such as a guaranteed minimum wage and labor unions and advocacy groups. "I believe the private sector is the engine of economic growth, and our party cannot love jobs and hate the businesses that create them," Senator Kerry said in a speech earlier this month. "We will fight for the mainstream American value of opportunity not just for some, but for all," he said during another speech on foreign trade. Those who oppose the Democratic approach to regulating businesses use small business owners as examples who struggle to keep up with the regulations and taxes meant to keep larger organizations in check. Some argue that such regulations, make it difficult for individual entrepreneurs and small businesses to be successful. Democrats however think that the regulations are necessary to ensure that no worker is bullied by large corporations that choose money over people. These almost opposite views give clues as to how each candidate will approach the economy, and help explain Bush and Kerry's takes on the economy now. After a recession in 2001, a wishy washy "jobless recovery" in 2002 and 2003, all indicators seem to point to an improved economy in 2004. The Bush administration claims its tax cuts have led the country out of the economic slump because taxpayers could keep more of their cash and spend it on cars, t.v.’s and millions of other things, giving the economy a boost in the right direction. While Bush tax cuts may have created additional consumer spending, there are many other factors that have contributed as well. The massive increase in government spending from the addition of Homeland security, the Pentagon, and the war in Iraq has resulted in the government being one of the quickest expanding sectors of the economy. Through the first three months of this year. Another forgotten role in the government is Federal Reserve Chairman Alan Greenspan. Greenspan sets the rate at which the Federal government lends money to banks. The less Greenspan charges the banks, the less banks charge for important loans the country needs. The Democrats during all of this say the country’s recovery is a direct result of their economic accomplishments during the '90s. "Under Bill Clinton, we created 23 million new jobs, lifted 7 million Americans out of poverty, and sent millions more Americans to college," Kerry said during a speech earlier this month. Economists, however, think that low interest rates and increased worker productivity have also helped the economy; two things the Clinton administration and President Bush's tax cuts would not have affected. The Economic recession is one of the key factors in this year’s election. The candidate who can convince the public that their plan is the best for the country could possibly win; despite if validity of the plan.

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Where do they stand on the economy and issues?: Bush v Kerry