From Stephen Moore <[email protected]>
Subject Unleash Prosperity Hotline #1229
Date March 25, 2025 2:45 PM
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Unleash Prosperity Hotline
Issue #1229
03/25/2025
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1) Will Mississippi Be the 10th State With No Income Tax?

This headline certainly got our undivided attention:
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Source: WREG News

Mississippi Governor Tate Reeves is calling this tax cut: "A defining moment in Mississippi's history."

That's a bit of an exaggeration because the bill, which passed the MS House by a 92-27 margin, drops the current 4.5% tax rate by 0.25% each year until 2030, when it reaches 3%. Then the tax will drop gradually depending on the gap between revenue and expenses.

We’d much rather see an immediate repeal and replace bill. Go cold turkey. What does Mississippi have to lose?

The proposal will also cut the grocery tax from its current 7% (the highest in the nation) to 5%, paid for with a gas tax increase.

Overall a very good bill and more evidence that the southern states get it when it comes to pro-growth tax reform.
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2) House Leaders to Senate: Get Going on Passing the Tax Bill

House leadership is urging their Senate colleagues to get off their butts and go, go, on the tax bill.

The House passed their budget resolution that would enable tax reconciliation weeks ago, and still no action from the Senate.

The GDP is going to be negative in the first quarter of this year. A second quarter would be a recession, which would be a bad look the US. The best anti-recession policy is quick passage of the tax bill.
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The Senate could improve the House budget resolution, as we have suggested, by amending it to a current policy baseline enabling a permanent extension of the expiring tax provisions. But they can't keep sitting on their hands.
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3) Jumping for DeJoy

Here's some cheerful news for the prospects of Postal Service reform:
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His failures have long been apparent:
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As we’ve noted previously, DeJoy has been a catastrophe at USPS. Under DeJoy, mail volumes are down 80% but full-time employees are up 190,000, prompting DeJoy to tell government union bosses: "Comrades, how come you're not celebrating me?"

We're celebrating his departure.
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4) Even Harvard Students Need Remedial Math

Just how bad is our education system in America?

Harvard University is being forced to launch a remedial math course for its students.
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The university is spinning this is only being done to make up for gaps in entering students' algebra skills that it blames on lockdowns. Sure lockdowns were an unforgivable mistake.

But the bigger question: how are students getting into America’s most elite college without knowing algebra, which is taught starting in junior high? The elite school has a 3.4% acceptance rate for applicants.

What does this tell us about the math skills of the other 96% of high school grads?
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5) Bill Maher: People 'Voting With Their Feet" Against Blue States

Bill Maher warned on his HBO show that the Left is flirting with extinction if people continue to flee Blue States for Red States.

Maher is a HOTLINE reader and so he recited our forecast that after the 2030 Census count, blue states like New York (-2) and California (-3) are on track to lose Electoral College votes and House seats, while red states like Texas (+4) and Florida (+4) make gains.
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"I mean, this looks like game over. And the reason why people are voting with their feet is a lot of what your book is about: taxes and regulation... the heavy breath of government," Maher said.

"It's not that hard for Democrats to understand this, but they don't. They seem to be incapable of doing anything about it."
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