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The fascinating, suppressed history of how JFK pioneered supply-side economics.
�
John F. Kennedy was the first president since the 1920s to slash tax rates across-the-board, becoming one of the earliest supply-siders. Sadly, today’s Democrats have ignored JFK’s tax-cut legacy and have opted instead for an anti-growth, tax-hiking redistribution program, undermining America’s economy.
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One person who followed JFK’s tax-cut growth model was Ronald Reagan.� This is the never-before-told story of the link between JFK and Ronald Reagan.� This is the secret history of American prosperity.
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JFK realized that high taxes that punished success and fanned class warfare harmed the economy. In the 1950s, when high tax rates prevailed, America endured recessions every two or three years and the ranks of the unemployed swelled. Only in the 1960s did an uninterrupted boom at a high rate of growth (averaging 5 percent per year) drive a tremendous increase in jobs for the long term. The difference was Kennedy’s economic policy, particularly his push for sweeping tax-rate cuts.
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Kennedy was so successful in the ’60s that he directly inspired Ronald Reagan’s tax cut revolution in the 1980s, which rejuvenated the economy and gave us another boom that lasted for two decades.
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Lawrence Kudlow and Brian Domitrovic reveal the secret history of American prosperity by exploring the little-known battles within the Kennedy administration. They show why JFK rejected the advice of his Keynesian advisors, turning instead to the ideas proposed by the non-Keynesians on his team of rivals.� �
We meet a fascinating cast of characters, especially Treasury Secretary Douglas Dillon, a Republican. Dillon’s opponents, such as liberal economists Paul Samuelson, James Tobin, and Walter Heller, fought to maintain the high tax rates—including an astonishing 91% top rate—that were smothering the economy. In a wrenching struggle for the mind of the president, Dillon convinced JFK of the long-term dangers of nosebleed income-tax rates, big spending, and loose money. Ultimately, JFK chose Dillon’s tax cuts and sound-dollar policies and rejected Samuelson and Heller.
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In response to Kennedy’s revolutionary tax cut, the economy soared. But as the 1960s wore on, the departed president’s priorities were undone by the government-expanding and tax-hiking mistakes of Presidents Johnson, Nixon, Ford, and Carter. The resulting recessions and the “stagflation” of the 1970s took the nation off its natural course of growth and prosperity-- until JFK’s true heirs returned to the White House in the Reagan era.�
Kudlow and Domitrovic make a convincing case that the solutions needed to solve the long economic stagnation of the early twenty-first century are once again the free-market principles of limited government, low tax rates, and a strong dollar. We simply need to embrace the bipartisan wisdom of two great presidents, unleash prosperity, and recover the greatness of America.
- Sales Rank: #16028 in Books
- Published on: 2016-09-06
- Released on: 2016-09-06
- Original language: English
- Number of items: 1
- Dimensions: 9.31" h x .91" w x 6.31" l, .0 pounds
- Binding: Hardcover
- 256 pages
Review
“The authors should be cheered for what they’ve done…Larry Kudlow and Brian Domitrovic have thankfully written an essential history that will hopefully remind readers of all stripes that low taxes and sound money are good for freedom and prosperity, and happily are the property of�both�major political parties.”
—John Tammy, Forbes.com
�
“The authors make a thought-provoking argument that the same economic strategy would solve the economic problems in our nation today. Moreover, they believe it would solve other problems, such as inequality and damage to the environment…Recommend[ed] for those who appreciate economic theory and/or 20th-century history.”
—Library Journal
“Economic growth: What a great idea!� Now, if only we could get the Democrats to agree that growth is a good idea, and if only we could get the Republicans to be more persuasive in making the case for growth…[This] book by Larry Kudlow, an economist in the Reagan White House and, more recently, a CNBC host, and Brian Domitrovic, a senior associate at the�Laffer Center for Supply-Side Economics, is a strong first step for the GOP.”
—Breitbart
“Lawrence Kudlow, one of [Republican Presidential nominee Donald] Trump’s key tax policy advisers, has compiled [a] critical history in compelling fashion in JFK and the Reagan Revolution…Co-authored by economic historian Brian Domitrovic, the newly released book focuses on John F. Kennedy’s conversion to supply-side tax cuts as a seminal political and economic event that led to the Reagan supply-side revolution, which was forced on Bill Clinton after the Democrats’ disastrous political defeat in 1994…The tax-cut strategy, in fact, is the most massively under-celebrated cure for the economic doldrums that has been devised, but even media conservatives and Republican Party lawmakers have largely ignored the history that Mr. Trump would do well to vividly recap, especially since Bill’s presidency thrived on what Hillary [Clinton] caustically mocks as ‘trickle-down economics.’”
—Washington Times
“John F. Kennedy campaigned for president in 1960 targeting 5% real economic growth. After he was elected, he achieved that goal, doubling the slow growth of the Eisenhower 1950s…This history is recounted in detail in the new book by Larry Kudlow and Brian Domitrovic, ‘JFK and the Reagan Revolution: A Secret History of American Prosperity.’”
—Investor's Business Daily
“Larry Kudlow and Brian Domitrovic have teamed to up deliver a fantastic account of the Kennedy tax reform of 1964 – all the more relevant today, as we once again need leaders who can “get the economy moving again,” as Kennedy promised in the 1960 election.”�
—Nathan Lewis, Forbes.com
“America can return to prosperity and robust economic growth by looking to the Kennedy-Reagan model of income tax cuts and a strong, stable dollar, a new book argues. ‘JFK and the Reagan Revolution: A Secret History of American Prosperity,’ by Lawrence Kudlow and Brian Domitrovic…tells the story of how the tax and monetary policies of Presidents Kennedy and Reagan triggered impressive economic growth.”
—New York Sun
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“A fascinating account of the internal battles within John F. Kennedy’s administration over cutting taxes and keeping the dollar linked to gold.”
—Forbes Magazine
“JFK and Reagan Revolution�by Larry Kudlow and Brian Domitrovic is a concise, cogent, and convincing economic history of the birth of supply side economics… [the book] sets the record straight and is a compelling and brisk account of what happened along the way...”
—Richard H. Clarida
“It can be argued - and it is in a new book by economist Larry Kudlow and historian Brian Domitrovic titled�JFK and the Reagan Revolution: A Secret History of American Prosperity�- that Reagan learned key lessons about pro-growth tax policy from one of his supply-side predecessors. As much as the left-wing Kennedy clan of recent times hates to admit it, President John F. Kennedy, a Democrat, turned out to be a supply-sider…President-elect Trump has an opportunity to become the next successful supply-sider in the White House. He can do so by picking the right people for key economic policy jobs, and taking to heart the lessons offered by Kudlow and Domitrovic in their insightful JFK and the Reagan Revolution.”
–RealClearMarkets
About the Author
Lawrence Kudlow�is CNBC's Senior Contributor. He previously hosted CNBC's primetime "The Kudlow Report" and currently hosts a nationally syndicated weekly radio show and writes a weekly syndicated column. During the first Reagan Administration he was Associate Director for Economics and Planning in the Office of Management and Budget. He lives in Connecticut.
Brian Domitrovic is a historian, professor, a senior associate at the Laffer Center for Supply-Side Economics, and author of the landmark history of supply-side economics, Econoclasts. He is a columnist at Forbes.com and contributes to several publications. He lives in Texas.
Most helpful customer reviews
20 of 23 people found the following review helpful.
Inspiring Lesson of Two Big Tax Cutters
By Steve Forbes
Should be required reading for any American seeking office. In this well-researched, well-written book, the authors show how John F. Kennedy and Ronald Reagan, heroes of their respective parties, shared one powerful belief--the ability of tax cuts to stimulate explosive economic growth. The 1950s, for instance, were a high-tax era that spawned a recession almost every other year. By exciting contrast, the massive, across-the-board Kennedy tax cuts created consistent 5% economic growth in the 1960s. In response to the dreadful, stagnant, inflation-ridden 1970s, Reagan basically copied the Kennedy tax cut approach and brought about another extended period of economic prosperity in the 1980s.
Would such tax cuts work today? Why wouldn't they? If our political leaders would simply emulate what JFK and Reagan did and whack away at the economy-strangling taxes burdening US businesses and families today, we would see sizzling prosperity, more jobs, higher pay and fewer Americans living in poverty.
Perhaps the most inspiring takeaway from JFK and the Reagan Revolution is that their tax reduction policies were bipartisan (Kennedy's Treasury Secretary was an eminent Republican). In the fiercely partisan atmosphere that pervades Washington today, this is a history lesson that should be relearned.
1 of 1 people found the following review helpful.
Outstanding documentation of economic policies and their consequences for growth ...
By Henry R. Nau
Outstanding documentation of economic policies and their consequences for growth. For conventional Keynesian economics, there is no explanation for the economic booms in the 1920s (Harding/Coolidge), 1960s (JFK) and 1980s (Reagan) except that exogenous forces such as technology caused them. This account shows that these economic returns can be explained in terms of policy choices, and these policy choices are available today to reincentivize investment and entrepreneurship, take the burden of growth off the back of monetary policy (which is stretched to its limits), and create jobs that might alleviate the opposition to imports and immigration, as growth did during the Reagan era.
1 of 1 people found the following review helpful.
I'm glad I bought this book!
By J. Carter
Kudlow and Domitrovic have written the definitive history of how two U.S. presidents—John Kennedy and Ronald Reagan—changed the course of American economic history for the better. Their book is compelling and entirely accessible for the layman. And perhaps most importantly, it’s enjoyable to read.
See all 46 customer reviews...
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