The Economy

The Problem

Unemployment continues to be high and the government continues to spend.  The Federal government has issued bonds and purchased its own debt using printed money.  States can’t print money so states like California have begun to issue IOUs - promises on paper to pay people back.  In the meantime commodity prices are rising in the background as our currency gets slowly devalued.  

Housing prices rose for years and many people began to believe that they would rise forever.  This led to high risk credit being erroneously viewed as safe.  When the housing bubble burst in 2008 an unprecedented financial crisis ensued for the United States - the effects of which we'll be feeling for generations.       

The Proper Role of Government

I understand what drives the economy and how the complex interactions function.  I know that like an ecosystem you can’t change one area and not expect consequences.  We don’t need bailouts - we need a low tax base.  We don’t need more debt - we need fiscal discipline.  We don’t need the government to try and get businesses working - we need the government to get out of the way so businesses can do what they do best.

In my first session in the Utah State Legislature we balanced the budget and reduced the structural deficit by $260 million.  The structural deficit is the amount of budgeted expenses that are ongoing, but paid for by one time money.  It's equivalent to using the proceeds from selling your car to pay a mortgage.  You can do that for a short time, but you quickly run out of money.  We did this all without raising taxes.  

The proper role of government is to give businesses the right environment where they can thrive.  Give them the right foundation - and they will do the rest.   

Contact Dean: Dean@DeanSanpei.com or (801)979-5711.