Believing that it is vital going into the 2012 election for voters to understand how policies impact our economy and our very way of life, Ms. Peggy Venable, Texas director of Americans for Prosperity, is currently on a mission throughout the state to educate Texans on the importance of free-market public policies.
One stop on her pilgrimage was Port Lavaca, on February 14, where she presented information compiled by economic experts to show the relationship between economic freedom and quality of life.
Connie Hunt, President of Calhoun County Conservative Club welcomes Peggy Venable, Texas Director of Americans for Prosperity.
What is Economic Freedom?
Robert Lawson of Auburn University and James Gwartney of Florida State University, authors of Economic Freedom of the World, have defined economic freedom into five categories:
Size of Government: This area includes factors like the top marginal income tax rates and the percentage of GDP that the government consumes.
Regulation: This includes data on hiring and firing regulations, price controls, interest rate controls and other measures of government regulation of private activity.
Sound Money: They also measure the degree to which governments live up to their promise to issue currency that maintains its value. They measure the inflation rate, its volatility and other measures designed to assess whether the government ensures access to sound money.
Free Trade: They measure the degree to which citizens are free to trade internationally. They look at the revenues from trade taxes and the mean tariff rate, among other things.
Rule of Law: Lastly, they assess the legal structure to measure the degree to which the country protects property and respects the rule of law. Are the courts impartial? Are contracts enforced?
Citizens of the most economically free countries earn more than eight times more than citizens in the least-free countries. Economic freedom benefits the poor. In Zimbabwe, the poorest population segment earns just $910 per year. If you live in the U.S., you could expect 900% more than that.
Life expectancy is greatly increased between the least free nations and the most free. In the U.S., you can expect to live 20 years longer than those in the least free countries. Child labor, infant mortality, and unemployment are all significantly higher in the least free nations. Environmental soundness, a lack of political corruption and civil liberties are all tied to economic freedom – the more free a nation, the less corruption, pollution and oppression citizens face.
Where does the United States stand?
You might think that the United States ranks right up there on top of the most free countries in the world, but, according to the Economic Freedom of the World 2011 Annual Report , the U.S. ranks only 10th on the list, coming in behind Hong Kong, Singapore, New Zealand, Switzerland, Australia, Canada, Chile, United Kingdom, and Mauritius.
Keep in mind, this data – the most recent available – was released before we had two stimulus bills, TARP, pay regulations, monetary expansions, increased Federal Reserve oversight, and the health care bill. The U.S. is expected to fall to the 15-20 range when rankings are released again.
While most all of us know that the Federal Government is deep in debt, the status of State and local indebtedness is not as well publicized. Although Texas ranks high among the states (18th) economically, its debt, including interest, stands at over $322 billion.*
Port Lavaca, No Exception:
*Texas Bond Review Board, August 2011 show the City of Port Lavaca with a grand total of $45,914,908 in outstanding bond debt, broken down as follows:
City of Port Lavaca $14,803,273
Calhoun County $14,792,000
Calhoun County ISD $16,319,635**
**For a comparison of Calhoun County ISD, or any other Texas school district, to the state average, go to “The Red Apple” web site: www.RedAppleProject.com
Ms. Venable encouraged those at the meeting to attend local government meetings and work to support economic freedom by opposing local government growth and spending and tax increases or bond proposals. Hold your elected officials accountable for the decisions they make and demand transparency. “By cleaning up the economic mess in our own communities,” she said, “we set a standard that echoes all the way to Washington, D.C.”
Americans for Prosperity is an organization of grassroots leaders who engage citizens in the name of limited government and free markets on the local, state, and federal levels. The grassroots activists of AFP advocate for public policies that champion the principles of entrepreneurship and fiscal and regulatory restraint. For more information: www.americansforprosperity.org
Anyone who would like to view the complete power point presentation “Prosperity and Economic Freedom” may request it by email (dolphin1@tisd.net) and it will be forwarded to you.
