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Tammy Frisby, Romney Economic advisor, on Mitt Romney’s economic plan and what he will say in his RNC speech tonight.
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Governor Romney's economic agenda Romney advisor -- -- friends but.
Joins us now.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- It is a fundamental principle of the of those -- the party but also.
Of the president's party that that governments don't create jobs even though the president.
Seemingly has been contradictory -- that point but if -- government doesn't create jobs how does governor Romney.
Make sure that we have a a more fertile environment for job creation in the United States.
Governing can create the playing field for job creation and if we have.
Clear expectations and we have minimal regulations by me and -- the contracts that we think are important to enforce in a -- And we just won't let the market three that's how the government plays an important role in job creation let's.
Talk about taxes specifically because Paul Ryan of course.
Was was schooled -- -- at at the feet of Jack Kemp who was the biggest one of the biggest supply siders this country's ever seen supply sider -- that he believed.
In the power of tax rate cuts to stimulate the economy.
Now according to -- to what I understand the Romney plan is for all tax rates to come down from all income groups.
But the wealthy would lose some of the deductions that they.
Now have is that correct.
Governor Romney has a principal plan for tax reform he wants to broaden the base and lower rates and you want to do so in a revenue neutral manner at those will be the three primary objectives in tax reform beginning in January of this year -- governor Romney and congressman Ryan Aaron White House.
In terms of this specific deductions and exclusions.
Right now those are certainly under discussion and given the governor and congressman -- emphasis on renewing the middle class in this country putting.
I had the middle class back in its rightful place at the center of the American economy that they will be also be guided by the principle of making sure that whatever policy choices are made in the middle class back.
That's hardly -- say they're under discussion now this is an import a -- you know world were hiring somebody to.
-- -- to change to fundamentally change our economy from the way it's been going for the past four years shouldn't we have we the voters of the United States have a clear blueprint.
Before the election to vote on and will we have such a thing.
The last time this country -- massive tax overhaul that was 1986.
And -- In -- 1984.
Election cycle when Ronald Reagan was running for reelection.
He stood before congress assembled and he asked the Treasury Department to send him -- plan that would arrived after the election he signaled.
Signaled his serious intention to engage in tax reform but he didn't make it an election issue and governor Romney is following that same model of President Reagan in this instance.
Those are negotiations that will happen under governor Romney's leadership but with the leaders in congress what we hope is once again now large majority in that house but also -- -- our Republican -- Well let me just put anti abortion -- a guy I got that -- answer I think is -- know that we will not see a clear specific blueprint for change in tax policy.
Nevertheless it Ronald Reagan was had something preceding him which was the Kemp Roth plan.
A tax reduction plan that was put in place.
-- Paul Ryan's mentor Jack -- At it.
So there was a plan that that Reagan stood behind there is no such plan right now for governor Romney correct.
I disagree with that and in 1986 to start there.
There were a number of plants and error of five may need to penny and I you look at six major planes including camp rock but also for example.
Bradley and Gephardt -- -- in their own plans.
And one thing and -- worried me as say it as a policy and political analysts was that we hadn't seen that sort of legislative activity.
Over the last couple years but in the last six months as the reality of a fiscal -- and then -- unacceptable.
I economic conditions and that will produce in this country has really come home to members of congress.
We -- members of congress stepping forward.
And starting to write errant piece of legislation honest and of course we also have several blueprints which we can follow -- follow something along -- -- of bulls and -- and then of course you do have I have the Ryan budget as well of course governor Romney can't well don't plant.
Tammy one thing that is absolutely clear that we're beginning to see that we just saw this week by the downgrading of Illinois by the way S&P.
Just downgraded -- Illinois I'm sure you saw the Illinois had tried to balance their budget by raising taxes.
Their name as as this may be a result of that the fact that it is now been downgraded it is not working their neighbors Indiana and Ohio and Wisconsin.
Are trying to get things moving by lowering tax rates of course you also have a divide between California raising rates not doing so while Texas.
Lower rates doing pretty well.
Is that the message that we're gonna hear tonight.
We will certainly hear a message of a pro growth tax code -- a pro growth economic program.
And -- and California's my current home state California has a lot of -- governmental problems and -- I would definitely encourage people not to link.
I tax rates in California low tax -- in California to the problems and bad economy is taking that's not it and I at correlation that got people should be making all the cool though hello.
Well clearly the correlation I was making was that they have a plan to raise tax writes in that -- Seems to be so investors is out of the state.
Yes Californians very high tax rates -- -- yes -- and a in intention by Governor Brown hands.
-- and the longer proposal to raise them further so yes those are exactly the kind of problems and governor Romney certainly wouldn't be taking -- country not traction.
Tammy frisbee Romney economic advisor good to have got him to thank you very much for being here appreciate -- good luck tonight.
