Kudlow’s Money Politics

Economic Boom Continues

According to Action Economics, daily data from the U.S. Treasury for April show that the booming economy produced soaring tax receipts that came in 15 percent above a year ago.

Spending was only 2 percent ahead of last year. So, the FY 2006 budget gap should come in around $270 billion dollars. That’s much lower than the CBO estimate of $337 billion dollars, and vastly lower than the OMB prediction of $423 billion dollars.

As a share of GDP, this year’s gap will be only 2.1 percent, and could be only 1.6 percent next year, since state and local governments are actually running surpluses. The combined budget gap will be even smaller.

Is it possible that with lower tax rates the booming economy is throwing off ever-greater tax revenues? Didn’t someone once call that the Laffer Curve?

It’s the American economic boom.

The greatest story never told.

Larry Kudlow is the author of JFK and the Reagan Revolution: A Secret History of American Prosperity, written with Brian Domitrovic.

Most Popular

White House

The Mueller Report Should Shock Our Conscience

I've finished reading the entire Mueller report, and I must confess that even as a longtime, quite open critic of Donald Trump, I was surprised at the sheer scope, scale, and brazenness of the lies, falsehoods, and misdirections detailed by the Special Counsel's Office. We've become accustomed to Trump making up ... Read More
Education

An Idea for Student Loans: Get Rid of Them

Here is a three-part plan for something practical the federal government could do to relieve college-loan debt. Step 1: The federal government should stop making college loans itself and cease guaranteeing any such loans. Step 2: It should prohibit educational lending by federally regulated financial institutions ... Read More
White House

The Problem with the Mueller Report

So much for collusion. The media conversation has now officially moved on from the obsession of the last two years to obstruction of justice. That’s because the first volume of the voluminous Mueller report, the half devoted to what was supposed to be the underlying crime of a Trump conspiracy with Russia, ... Read More
Sports

Screw York Yankees

You are dead to me. You are a collection of Fredos. The cock has crowed, you pathetic sniveling jerks. The team I have rooted for since 1965, when I first visited the House that Ruth Built, where I hawked peanuts and ice cream a lifetime ago, watched countless games (Guidry striking out 18!), has gotten so ... Read More