Six, add a tax credit for investments that are made in rural States, where there is out-migration of people. We should use this opportunity to use tax cuts to stimulate new jobs and economic growth in rural states that have been left behind. Here are some of the major issues that we must consider as we enact this tax cut. The President's plan assumes we will have budget surpluses for the next 10 years. I hope that is the case, but with the current slowdown in our economy, we ought to be cautious.
Economic forecasts are no more reliable than weather forecasts.
If we lock in a large tax cut and then do not get the expected surpluses, we will once again put our country in financial trouble. One of the major priorities for using the surplus should be to pay down the Federal debt. It grew by trillions in the 80s and early 90s. Now we have the opportunity and an obligation to use part of these surpluses to pay down that debt. The top I percent of all income earners in the U.S. pay 21 percent of all taxes, but under the President's plan they would receive 43 percent of the tax cut.