US House Launches Competitiveness Caucus

by Mike Godfrey, Tax-News.com, Washington

19 July 2005

The leadership of the US House of Representatives last week announced the launch of a new House Economic Competitiveness Caucus which, according to chairman Rep. Todd Tiahrt (R - Kan), will aim to generate ideas on fundamental reform of taxation and business regulation that will eventually translate into legislation.

"For almost two centuries, America has been the envy of the world with our dynamic economy and hardworking, motivated workforce. We have truly been the land of opportunity where innovation has thrived. That status is changing, however. And we must do something to address it," remarked Mr Tiahrt at Thursday's press conference.

He added that: "I have established the House Economic Competitiveness Caucus to take a long-term vision approach to address competitiveness issues. Because the best ideas usually come from Main Street – not Washington, DC – we have joined efforts with business leaders to focus on removing barriers to American economic competitiveness, developing economic goals for the future, and finding paths to get there."

Mr Tiahrt warned that other nations, such as China, India and Brazil were overtaking the United States in the competitiveness stakes, and pointed to the successful low tax policies of Ireland as a demonstration of what should be done by lawmakers in the US.

"Ireland has shifted from the third world nation of Western Europe to the envy of the EU, largely due to its tax policies. The Celtic Tiger has lowered its corporate tax rate to 12.5%, stimulating the economy and creating jobs," he observed.

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