When looking at yesterday’s news about the stimulus, it has proven that the massive monstrosity of government growth has done nothing to get Wisconsin’s economy out of life support. Yesterday, the Doyle Administration announced that only 8,284 jobs were created or saved by the stimulus, this is in comparison to the over 130,000 jobs that have left our state. Also, add on 250 more jobs at the Kohl’s Distribution Center in Menomonee Falls that will move to Illinois this proves that high tax policies and a failed stimulus have put Wisconsin on the wrong track.
In the past year, Wisconsin has seen Harley Davidson, Ashley Furniture, Briggs and Stratton, Gardner Denver, and countless others who have either cut jobs or shipped them to lower tax states like Indiana, Louisiana, Alabama, and Georgia. While the State of Wisconsin was given $700 million dollars to create 74,000 new jobs using the stimulus, it showed once again that spending does not create jobs In addition, each job created in the stimulus is already costing Wisconsin taxpayers $82,000 a job. Economists who testified on the stimulus on Tuesday to the Wisconsin Assembly Jobs and the Economy Committee said that it will take up to three years for Wisconsin to fully recover under the stimulus.
It shows once again that high taxes in Wisconsin kill jobs. Since combined reporting was signed into law this year, it has done nothing to keep manufacturing jobs in Wisconsin as we are seeing more jobs leave Wisconsin by the day.
This news furthers arguments that if Wisconsin wants to get serious on job creation, then it must get serious on remaking our tax policies for the better. First and foremost, our middle class in Wisconsin pays too high of income taxes already. I have pointed out in previous posts that its a shame our middle class gets taxed double of what Indiana and Illinois taxes their citizens. For someone making $20,400 which is the first threshold for someone getting 6.5% taken out of their paycheck to the maximum of $134,280, if they got 3 or 3.4 percent more out of their paycheck via a flat tax this is a real stimulus. This is more money Wisconsin citizens can have in their pockets in which they can help turn around the economy.
Also, we need to repeal combined reporting and the investment taxes passed by the Wisconsin legislature this year and also we need to cut our corporate tax rate across the board so we are competitive with the top fifteen states in the nation. Wisconsin has the potential to be America’s business leader if we enact the right policies that will move Wisconsin forward.
Yesterday’s news shows why the pocketbook and the economy are the top two issues in 2010. This further shows that sobering news like in Wisconsin will be motivating voters in New Jersey and Virginia on November 3rd on behalf of Wisconsin citizens to tell Team Obama, it is time to put the brakes on runaway spending.