Most reporters don’t understand how the economy works. That is evidently true of Normal Love of the Associated Press. Her article, “GOP governor hopefuls want to slash state business taxes” is a disaster of epic proportions and betrays either the longtime State House reporter’s criminal ignorance or her favoritism toward liberal policies.
Both Kevin Smith and Ovide Lamontagne propose to reduce business taxes if they are elected governor. So Love writes:
New Hampshire’s two main Republican gubernatorial candidates both propose cutting business taxes — the state’s largest revenue source — without saying how they would pay for the cuts.
Kevin Smith’s proposed tax cuts could potentially cost the state more than $1 billion in lost revenue by 2020 — if his premise that lower tax rates will boost revenue isn’t realized.
His main rival, Ovide Lamontagne, has a more modest tax cut proposal that could mean $120 million in lost revenue during the same time frame.
It’s difficult to tell whether this is bias journalism or just ignorance. Can Normal Love possibly not know that lower taxes, along with a right-to-work law and fewer onerous regulations, are the key ingredients in the formula states generally use to attract new businesses and *shock!* increase tax revenues? Either way, the AP would be wise to update Love’s story with perhaps the thousand examples of states doing just that. And Love should stop writing about the economy. She obviously doesn’t understand it.