Mitt Romney Unveils Economic Plan

Republican Presidential Candidate and former Massachusetts Governor Mitt Romney has unveiled his plan for bolstering the performance of the American economy. The plan, titled "The Romney Agenda: A Conservative Blueprint For Strengthening The Economy," was released on Romney's campaign web site.

The Romney plan outlines five challenges faced by the U.S. economy, and recommends multiple solutions for each challenge. The first economic challenge listed in the plan is "Ending Washington's Spending Binge." Solutions for meeting this challenge include vetoing appropriations bills that are in excess of government spending goals, authorizing the President the power of the line-item veto to reduce or get rid of excessive appropriations, taking another look at all spending programs administered by the federal government, authorizing the Executive Branch of the federal government to reduce Congressionally appropriated spending by up to 25 percent, and asking the U.S. Congress to require 60 percent of votes for approval to increase taxes.

The second challenge, according to the Romney plan, is reforming federal entitlement spending, which is estimated to reach almost one fifth of the country's gross domestic product by 2050. Solutions to meet this challenge include reforming the social security system, bringing Medicare costs under control, and encouraging changes to the Medicaid system that allow for easing administrative restrictions and permitting block grants from the federal government.

The third challenge, Romney says, is to prevent tax increases on the American public. According to his web site, Romney says it is unfair that money is taxed when it is earned, and then again when it is saved or when a citizen dies. Solutions in the plan include making the 2001 and 2003 tax cuts permanent, reducing marginal tax rates for everyone, reducing taxes on interest, capital gains and dividends to zero percent, eliminating the inheritance tax, reducing the rate of corporate taxation, and enacting a fix to the alternative minimum tax.