Calvin Coolidge oversaw one of the greatest expansions in the history of the US economy. When Coolidge took office, he believed tax rates were too high. With top rates at over 70% following World War I and facing a protracted recession, Coolidge believed it was time to take serious actions. The combined top marginal normal and surtax rate fell from 73 percent to 58 percent in 1922, and then to 50 percent in 1923 (for incomes over $200,000). In 1924, the top tax rate fell to 46 percent (for incomes over $500,000). The top rate was just 25 percent (for incomes over $100,000) from 1925 to 1928, and then fell to 24 percent in 1929.

The reduction in tax rates fueled the productivity engine of the US during these years, leading to inflation rates below 2 percent, unemployment below four percent, and the number of people who made over $100,000 a year actually quadrupling over his years in office. In addition to leading to economic expansion, these policies led to a dramatic increase ...

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Back when I worked for Sen. Gordon Humphrey (R-NH) in the 1980s, there was a saying among members of the Budget Committee he served on and the staff: "A million here and a million there, and eventually you are talking about serious money." Those now appear to be the "good old days" compared to the fiscal mayhem we see today.

Last week President Obama signed a law authorizing the United States Treasury to borrow an additional $1.9 trillion, during that time he did another one of his favorite paradoxical quips in a speech in which he discussed his commitment to frugality. Terrence P. Jeffrey of Human Events, suggests we all review the White House website and review the President's Office of Management and Budget's (OMB) own figures.

I love the title on the top of the OMB page: "A new era o...

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Fox News recently reported that "The House of Representatives ... voted to raise the debt limit by $1.9 trillion. That vote raises the debt ceiling to $14.3 trillion, a new high for the amount of debt the U.S. has ever carried." It goes on to say that "As recently as 2001, the U.S. debt was only at $5.7 trillion. But exploded throughout the past decade after Sept. 11, 2001, amid record spending by the Bush and Obama administrations." Furthermore, it noted that "If Congress doesn't hike the debt ceiling; the U.S. would be unable make good on Social Security and Medicare payments.

"It certainly makes sense to be opposed to raising the debt ceiling. The vast majority of it was in areas that the government has no business being in. Yet, I'm disgusted to see where some of the "nay" votes came from. The Senate approved the debt limit increase in mid-January on a 60-40 party-line vote. Meanwhile, the House vote was much closer, 217-212. All Republicans and more than 30 Democrat...

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I grew up in a suburb of Detroit, Michigan and thought it was a great place to live at the time. We had four seasons, beautiful trees, and it was a wonderful place to be a kid. However, it was also a place in significant economic decline and, by the time we left in the mid 1970s, Detroit was a place on the ropes. Like the many "Michiganders" that flew south to escape the economy of Detroit, we often joked, "Would the last person to leave Detroit, please turn off the lights?" With many economists indicating that real unemployment in the Motor City is around 50 percent, the day this city dies seems to be drawing near.

Detroit has reached such a dire status that its own demise has become a description for the decline of other economies. The Michigan based Mackinac Center discusses "Detroitification," which is defined as the "hollowing out of the private economy to prop up unsustainable (and ofte...

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There is a major shift going on in American politics. In November of 2008, following elections that brought Obama to the White House and significant majorities for the Democrats in the House and Senate, it seemed likely that the Democrats would dominate the Executive and Legislative branches for years to come. Republicans hoped that there was a chance they could take back the House, but the Senate, in the near future, was a pipe dream. In recent weeks, that dream has become a nightmare for the Democrats.

It became very scary for Democrats when a Senate seat held by a Kennedy for almost 50 years found itself in Republican hands. Scott Brown won a race, in spite of the fact that the state is 3 to 1 Democrat. Even before this upset, Sen. Byron Dorgan (D-ND) announced he would not seek reelection. Christopher Dodd (D-CT), one of the most influential and longest serving members of the Senate, decided not to run after a year of accusations of political improprieties rocked his campa...

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President Barack Obama's health care bill is on the fast track to no where. He made a radical, socialized medicine, health care bill the center piece of his legislative agenda in 2009, even though unemployment had reached a high we have not seen in a quarter of century. Those who opposed a bill that would lead to higher unemployment, higher taxes, health care rationing, and injury to innovation have won the battle. This was seen in the rapidly falling approval ratings of many moderate Democrats who voted for the bill the first time around. This was also clear as the state of Massachusetts, which is 3 to 1 Democrat, voted Republican on a Senate seat held by a Kennedy for a half of a century. What is the connection?

Massachusetts had a government health care program very similar to the President's plan for five years now and it has failed in virtually all of its policy objectives. The special election became a referendum on Obamacare and that agenda failed.

Presiden...

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Opponents of Obama's health care proposal are often described as "alarmists," as they discuss rationed health care, the death of innovation, and the devastating effects it will have on the budget. However, what really angers proponents of government health care is when people discuss economic euthanasia. That is, allowing people to die or even encouraging people to die because prolonging their lives would only provide a drain on the economy. In Europe, people often hear, "I am sorry sir, but your wife is rather old and has been retired for years, it really does not make sense to spend the type of money necessary to prolong her life." My own family heard a similar tale when my grandfather passed away back in the 1970s in England. I remember hearing my family say that they had no recourse, since "we have no way to sue the government." That, too, is another problem with socialized health care.

Those who support Obama's plans say that such arguments in our health care debate are u...

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One of my favorite programs is Fox News' Strategy Room and I enjoy spending time on that program almost as much as my own, the Price of Business. The host of the hour I was on, Eric Bolling, has this unique knack of focusing on the consequences of government policies in a manner that is uncommon among many media personalities today. This may be due to the fact that his knowledge does not end with a traditional journalist education, but years of experience of working in the business world in general and the rough and tumble world of commodities in particular.

The "Biz Hour," which Bolling hosts, is also referred to as the "ADD Hour," because he covers a plethora topics. It is a true "strap on your seat belt experience" as we travel the world of the day's headlines.

Some of the issues we covered:
• Tax cuts vs. tax credits. The President has been emphasizing short term and often p...

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Recently I had Cody Willard of the Fox Business Network on my program and we discussed the incredible expansion of the federal government for several years and the fact that the end is no where in sight. Willard attributes the problem to the "Republican" and "Democrat" financial machine that pays for an ever expansive government. In addition of leading to questionable priorities, expansive government can also lead to some very serious questions about conflict of interest. He points to the recent recall of automobiles on the behalf of several automobile companies.

Willard noted that, what was historically done for safety reasons (recalls) leads one to think could be done for business reasons. Think about it, if the US owns a company (it is majority owner of GM), recalls could be a very powerful tool to undermine the competition. In recent weeks there has been a huge increase in th...

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This past weekend we celebrated the birthday of Ronald Reagan. There is no question that "the Gipper" had his flaws. Government grew under his administration as it has under every other, but Reagan went far in significantly changing the debate over economic freedom.

One of my biggest frustrations is the reckless abandonment by politicians when it comes to articulating the importance of that freedom. In fact, I haven't heard a Presidential candidate build a message on this theme since Ronald Reagan and I believe that Gov. Sarah Palin may be the first national candidate to do such in her Vice Presidential bid in 2008.

On the eve of the Fourth of July, 1987, President Ronald Reagan delivered an address entitled "America's Economic Bill of Rights." This was an important time for our Republic, because in addition to celebrating the birthday of the Declaration of Independence at this time, we were also commemorating the 200th Anniversary of the United States Constitution on th...

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