Power & Market

The Real Fiscal Culprit Is Spending, Not Taxes

Spending

[Published in the Wall Street Journal, June 17, 2026 - ed.]

Arthur Laffer and Stephen Moore argue in “The Big Bob Packwood Tax Reform” (op-ed, June 11) that lower tax rates—the hallmark of the 1986 tax reform bill spearheaded by the late Sen. Bob Packwood—generate higher tax revenues. But the deeper issue isn’t tax rates; it’s federal spending.

Every dollar Washington spends is a dollar removed from the private sector, the true engine of prosperity, innovation and job creation. If tax revenues increase because of economic growth, lawmakers shouldn’t view it as an invitation for the government to spend even more. A growing economy should require less government intervention as private-sector employment and opportunity expand. Why should Washington continue absorbing an ever-larger share of the nation’s resources?

As we approach the 250th anniversary of the Declaration of Independence, Americans can reflect upon the Founders’ vision of a nation built on self-reliance and limited government. Today, tens of millions of Americans, businesses and institutions depend on federal dollars for income and benefits. This dependency is far removed from the spirit of independence that animated the American Revolution.

America needs a constitutional budget that phases out unauthorized federal programs. The goal should be to restore economic independence by reducing Washington’s reach and allowing citizens to keep more of what they earn while relying less on the government for their livelihoods.

Murray Sabrin, Ph.D.

Associated scholar, Mises Institute

Naples, Fla.

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