Blog

We’ve stated for a long time that the number one thing South Carolina could do to increase our economic competitiveness is fundamental tax reform.

As the Laffer Curve simply illustrates, unreasonably high tax rates actually hurt the economy.

South Carolina might have a rocky fiscal road ahead according to a study recently released by the Mercatus Center at George Mason University.

Making good policy decisions requires taking an honest look at our financial picture. And if we don’t look at long-term solutions to deal with our debt problem and uncompetitive tax code, that picture doesn’t look rosy.

South Carolina’s Uncle Sam is very generous, supplying nearly 38% of our budget, but he is also unstable. The federal debt as of today (May 1) at noon stands at approximately $18.21 trillion, and every year the debt grows larger. What if Uncle Sam goes unhinged? Wouldn’t it be sound financial policy for the state to have a plan for the sudden absence of our crazy uncle?

This week, it felt like we were in a Washington-like bad dream as the Republican-led SC House debated a bill that would have put South Carolina $500 million in debt. Dr. Oran Smith describes how we woke up from this $500 million dollar nightmare and wound up back home.

The numbers don’t lie. If we don’t change our ways, the Palmetto State could be looking at a #1 ranking in debt and taxes. That’s great news…for North Carolina, Tennessee and Georgia, our closest competitors for jobs and new investment.