Great NRO column on the Rodney Dangerfield economy by my friend Victor Canto."...About four decades ago, the John F. Kennedy tax cuts, inherited by Lyndon B. Johnson, went into action, and they were implemented while the country was still on the Bretton Woods system, or the international price rule. The economy roared. (Johnson would later raise taxes and begin to dismantle the international price rule.) Then, about two decades ago, Ronald Reagan cut taxes while his cohorts at the Fed shifted monetary policy to a domestic price rule. The economy roared again. Neither JFK nor Reagan, it must be noted, was a slouch on defense.
Now let’s see: It’s 2007, taxes have been cut and remain historically low, the Fed by most reasoned accounts is adhering to a price rule, and strength is the foreign-policy credo of the executive branch. Sound familiar? Indeed.
If Bush got lucky, so did Reagan and Kennedy. The truth is, all three of these presidents are due some respect for turning out robust and sustainable economies."
