1 The take home money will be larger due to the tax cut.
ABCNEWS, April 2003 (ABCNEWS' Betsy Stark, Terry Moran and Ann Compton contributed to this report.), ABCNEWS, April 24, 2003, abcnews.go.com.
The basic argument for the tax cut is that it's the most effective way to give the economy a much-needed boost. Many workers will pay less federal income tax. Investors will no longer be taxed on stock dividends. Married couples will be taxed less for filing jointly, and they'll get bigger deductions for each child they have. .
"Their take-home pay will be larger and if they have more money in their take-home pay, that gives them more money to spend," said Mark Vitner, senior economist at Wachovia Bank. .
2 The extra money in the pay check will be spent to create new jobs and end in a decrease in budget deficit.
ABCNEWS, April 2003 (ABCNEWS' Betsy Stark, Terry Moran and Ann Compton contributed to this report.), ABCNEWS, April 24, 2003, abcnews.go.com.
Supporters go on to say Americans will then spend that money at stores and restaurants, airlines and hotels, and soon those businesses and their suppliers " all of which have been cutting workers " will start hiring again. .
"I don't know that it will create 1.4 million jobs, but it will create more jobs than there would be in the absence of a tax cut," said Vitner. .
And while supporters concede that paying for the tax cut will increase the budget deficit, they also argue the deficits will be temporary. .
"If the economy does better, that means we'll be getting more tax revenue into the treasury and we'll have smaller budget deficits than we would in the absence of a tax cut," Vitner said. .
3 President Bush is showing his compassion for the unemployed.
Amity, September 2003 (Shlaes, Senior columnist on political economics for the Financial Times), Financial Times (London, England) September 22, 2003, Monday London Edition 1, Page 23, Nexis.
It is easy to see what moves Mr.