What's the Real Significance of this Election to the American Economy?

If the pundits and commentators are correct, today’s election will be historic in scope.  Most think the House will change hands and some believe the Senate might change as well.  Simply changing party control, however, is not the complete reason for its being a historic election.  It’s the extent of turnover of seats in both the House and Senate.  Most importantly, it’s also the repudiation of a governing philosophy and an economic philosophy.  What’s the real significance of this election?  Let’s talk about it more now …

From polling data, we know that Americans overwhelmingly prefer smaller government with lower taxes and fewer services to its opposite (bigger government with higher taxes and more services).  In the last two years, Washington has ignored the American people, choosing instead to run up incredibly high deficits and unsustainable debt.  Washington has also chosen to increase the size, power, and scope of big government with programs such as the de facto socialization of the health care industry (against the clear wishes of the American people).  New taxes and increased taxes just add to the policies that hold back the American economy from creating new businesses, new jobs, and economic growth.

In my opinion, the significance of this election is simple and straight forward.  The American people are telling Washington that they want smaller government, lower deficits, lower debt, and fewer programs.  They are sending a signal that they want economic freedom and economic growth.  They also want Washington to repeal the health care law.

If this election helps change the minds of those in Washington, if pro-growth fiscal and monetary policies are followed, this election will truly be historic and the American economy will be impacted greatly in a positive way.

Choosing the Good Life Blog by Gerard Francis Lameiro, Ph.D.