Whose Economics Will You Choose?
Alaska’s bloated government spending is unsustainable. Alaska’s Economy has been stable over recent years, but has grown increasingly dependent on state spending. Large capital budgets are providing short-term, artificial economic growth, but they are unsustainable.
Alaska will soon face a revenue shortfall. High oil prices and high taxes on production are masking the critical issue of decline. We are facing a severe revenue shortfall as early as 2015 without new oil production. Alaska’s budget is up 57% since 2006 while production is down 34%.
Taxes Discourage Investment. The billions of dollars of investment that are needed to boost production are not being made because our taxes are too high.
Increased Private Sector Investments Mean a Healthy Economy. Stable revenue streams and sustainable jobs for Alaskans come from private sector investments, not bloated government budgets.
We need legislators that understand these basic economic principals. This week we begin a series of direct mail pieces and radio spots that focus on two Senate races that highlight these issues.
There is a stark difference in economic policies promoted by incumbents Bill Wielechowski and Joe Paskvan and those promoted by the challengers Bob Roses and Pete Kelly.
Senators Wielechowski and Paskvan believe that it is their duty to get every dollar possible out of the oil being produced today in order to use it for state government. They don’t recognize that additional money in the hands of the private sector benefits our economy. This approach provides artificially high tax revenue in the short term but will lead to dramatically lower and unstable revenue in the long-term.
Challengers Roses and Kelly believe that it is their duty to protect Alaska’s economy and jobs for hard working Alaskans. They recognize that private sector investments are critical to creating a sustainable economy and stable revenue streams to provide essential state services. This approach may lead to less revenue for State government in the short- term, but will provide decades of sustainable revenue streams in the future.
Go to www.alaskaalliance.com and click on the We Are Alaska button to hear our new radio ads.
Posted: October 19, 2012