Scott Powers
The conservative economics think tank James Madison Institute has issued a detailed economic analysis of the plans proposed by Republican Ron DeSantis and Democrat Andrew Gillum, declaring that DeSantis’ would create hundreds of thousands of jobs, and Gillum’s would cost almost that many.
The institute, grounded in conservative economics championed by Republicans such as Gov. Rick Scott, concludes that Gillum’s proposals for a corporate tax increase, increased minimum wage, and increased teachers salaries “would adversely impact the business climate of the state,” costing 155,000 jobs and $28.2 billion in economic loses per year, the report’s executive summary states.
“Candidate Ron DeSantis agenda — to largely maintain the pro-growth-oriented strategy of Florida through low and stable taxes, would preserve and strengthen the state’s business climate … [and] lead to the creation of 215,000 jobs annually and $26.6 billion in annual economic output,” the summary continues.
DeSantis’ campaign quickly pounced on the report as vindication for the economic message he has been pushing, and as a repudiation of Gillum’s.
“Today’s report from the James Madison Institute, a nonpartisan, well-respected economic think-tank, proves what we’ve been saying all along — Andrew Gillum’s policies would be an economic disaster for every person in our state,” DeSantis stated in a news release from his campaign.
“My policies, on the other hand, would create over 200,000 jobs and add $25 billion in annual economic output,” he continued in the news release. “Floridians deserve a Governor who will work to ensure they get to keep more of their hard-earned money, create more jobs, and build on the economic success of our state, and that’s exactly what I will do as Governor.”
The James Madison Institute partnered with two business economic consulting firms, The Washington Economics Group of Coral Gables, and Arduin, Laffer, and Moore of Tallahassee, to produce the study.
At the heart of the study’s criticism of Gillum’s economic proposals is doubt that his proposed increase in the corporate income tax to 7.75 percent, from 5.5 percent, could raise the $1 billion he proposed to pay for his education plans, let alone pay for his broader spending plans, which the institute pegged at $2.6 billion. The institute predicted businesses leaving Florida to avoid paying the higher tax rate.
“Businesses can, and do, change their behavior based on tax changes, and now more than ever businesses are able to readily take their enterprises elsewhere. Consequently, the proposed corporate income tax rate hike cannot be expected to raise $1 billion in tax revenue,” it reported.
The institute’s estimate is that Gillum would have to raise the tax rate to 11 percent to raise the kind of revenue he seeks.
The study also goes at great length on the fiscally negative ramifications of Medicare for all, a proposal Gillum supports, but which would entirely be a federal proposal, completely out of the hands of Florida’s Governor.
The study does find potential money savings in Gillum’s proposed criminal justice reform platform, though it does not specify how much.
For DeSantis, the study gushes, “Ron DeSantis is committed to putting more money back into the pockets of Floridians because he knows they can spend their money better than government.”
It also states, “As Governor, Ron DeSantis will ensure we never become a high tax state hurtling toward bankruptcy like states that continue to spend on the backs of their citizens.
“Candidate Ron DeSantis’ proposed economic policy agenda is conducive to maintaining and likely increasing the growth trajectory that Florida has experienced over the last two decades. Funding State priorities, such as education, through reductions in the costs of educational administration that would allow the shifting of savings to the classroom is a pro-growth policy that improves human resources development without raising taxes,” the report states.
29 comments
Lenny Tompkins
October 15, 2018 at 7:17 pm
These guys are two peas in a pod – Gillum is being investigated by the FBI for corruption and DeSantis worships Trump. The media hasn’t EVEN TOUCHED the Reform Party ticket in this election! Darcy Richardson has an experienced running mate, Nancy Argenziano who has experience in the FL legislature. Neither of these are associating with crooks and felons! We deserve better in Florida than Gillum OR DeSantis.
Mark Sherman
October 16, 2018 at 11:37 am
What could be more incorrect than to state, “Desantis worships Trump?” Give credit where credit is due; promises made and promises kept. Desantis has great appreciation for Trump policies that have a wide range of benefits, to include national security, positive economic indicators, low unemployment and more jobs that can be filled. WWorships Trump? Not. Respect and support his agenda, absolutely. Go Ron!
Oliver
October 16, 2018 at 11:53 am
What proof do you have, other than alleged allegations. Please stop believing lies.
BJ
October 18, 2018 at 10:33 am
Everything alledged pretty much describes a Dem. Why would I doubt it ?
JC
October 16, 2018 at 3:02 pm
How the hell is DeSantis like the crimson socialist Gillum? Trumps policies are improving the nations economy! If DeSantis supports those policies, GREAT. Gillum hs nearly bankrupted Tallahassee and is a welfare pushing socialist democrat. We don’t need his kind of government here!
don pressman
October 17, 2018 at 11:10 am
What a stoopid comment. How can you equalize an FBI investigation to a conservative agenda? I’ve never seen Ron and THE DON in church together but do know that Donald’s policies are working for the country and Floridians best interests and if RON follows them we will continue to be a great state
trumpt blast
October 19, 2018 at 12:54 am
you seem to think your better than Trump but you can’t even tell the difference between right and wrong !!!!
Sue Tabler
October 15, 2018 at 9:54 pm
Floridians care about health care. This is the top priority in this state. Desantis has no policy statement. Screw the economy if seniors , disabled and those with pre existing conditions can not receive health care. Conservative GOP do not understand civility but this country needs CANDIDATES who act without bias and acceptable behavior
Vote Right
October 16, 2018 at 6:14 am
Ill informed. No one, no one with pre existing conditions is not able to get healthcare and no you don’t get hung up on. Whom is it that acts without civility, it is the leftist nut jobs. Burning the flag, bombings in the 70s, protesting instead of getting a job. Work hard and ye shall receive. Screw the economy, really, I guess you don’t care if you live off government coffer.
Dervin s
October 16, 2018 at 8:52 am
I agree with you.
Eva
October 16, 2018 at 10:58 am
Healthcare coverage is available for those with preexisting conditions. Was prior to Obamacare. All Gillum’s proposal of healthcare for all would do is raise taxes to give people access to crappy healthcare. And the first to have problems and long wait times for care would be older Floridians because they cost the most. Healthcare reform needs to happen, but Gillum’s plan will only make matters worse.
Tylstenie
October 17, 2018 at 9:09 am
Eva i wish I knew where , before ACA we were unable to get insurance because my husband took medication for high cholesterol and that was a bare bones plan years ago for $1000 month. We had very limited income due to lay off but planned to use saving with hopes of quickly getting a job. Instead we had to cross our fingers and hope we would be ok until a new job with insurance benefits kicked in. We shall soon be without insurance again but I am afraid this time we will be priced out of the market completely as with another lay off looming and our age only increasing I have yet to see something we can afford even for the short term
JJ
October 16, 2018 at 3:06 pm
Health care is a privilege. If you have pre-existing conditions, get a job! Group coverage will not prevent your coverage. Don’t sit on you ass and ask the taxpayers to pay for your existence🤨
Robin
October 17, 2018 at 9:11 pm
What planet do you live on? Do you know how hard it is to get a job with good health care benefits? And even good care benefits have huge monthly contributions, deductibles and copays. It’s not like it used to be back in the 1960s and 1970s. And if not lucky enough to get that type of good health care, woe to you. Many people can’t get full time or permanent jobs so that can’t get any health insurance. Stop judging other people!
trumpt blast
October 19, 2018 at 1:02 am
You think the aca is far better ??? You must make 5’000$$ a month to afford it !! We were better off before the stupid dumbucrats voted to pass that stupid law without READING IT !!! BUT you can go on believing in that lie that was intended to force a single prayer healthcare system on the USA !! And its not a good idea to say some thirty is better when they can’t even win the race !!
J A
October 16, 2018 at 1:28 am
Conservative think tank agrees entirely with conservative politician who is *wink*wink* definitely not a white supremicist.
Thats not really news, now is it?
Earl Shelton
October 16, 2018 at 3:05 am
Taxes kill jobs!
Except when they don’t—such as the 90s — the all-time best US economy *after• Bill Clinton raised taxes.
Drive on the the right side
October 16, 2018 at 6:54 am
And because of his policies we had the second worst crash in the economy in our history. You’ve been smokin his cigars and drinking the koolaid.
Bob
October 16, 2018 at 2:37 pm
Actually Clinton dealt with a Republican Congress which forced him to cut regulation and income tax. You should do research.
DOUGLAS STUMP
October 17, 2018 at 11:44 pm
Earl, the 90’s did have a good economy. It was fueled by the tech revolution. The tech revolution would probably have been a blip if it weren’t for Reagan and his tax cuts. One of the most important things he did was accelerate the depreciation schedule. Prior to this, office equipment such as chairs, copiers, manual or electric typewriters were all depreciated over a minimum of 20-26 years. PC’s, routers etc. are basically obsolete after 5 years. After 5 years a company would have 25% of there cost depreciated at best. A company that invested $1 mil on this would still be carrying $750,000 of phony profit on the books, which would mean they probably had around $250,000 still tied up in fed taxes for this phony profit. This would have led to much slower sales and that means the infrastructure for the internet would be much slower growth, etc. Keep in mind that it was people like you that decried Reagan’s cuts as give aways to corporate America.
John K Tudek
October 19, 2018 at 11:59 pm
I can absolutely relate to this, and it’s true
trumpt blast
October 19, 2018 at 1:08 am
Don’t you believe that you’re spreading the bullshit a bit thickly ??? I was jobless for five years while slick willy was in charge of higher taxes it took the noname storm of 98 to provide twelve weeks of road repair jobs in N Fla.
Monkey Balls
October 16, 2018 at 3:12 am
Monkey talk.
Ricky Hardy
October 16, 2018 at 3:48 am
It’s been a smear campaign against the Santos from the get-go they know Gilliam doesn’t know his finger from this ass hoe and that decides that he died on the tape crook just like most of the small City Mayors are all you got to do is look up at Atlanta we can seem Reed and his staff a bunch of money-grubbing people that live a lot lavish lifestyle and don’t know anything about politics and their only defense is to say the word monkey chimpanzee or anything against my route up just to throw the heat off of them so they don’t have to show proof that they don’t know anything. Everybody in the country do this crap was coming after Obama was gone especially as racist as he was you could have had the pope as president and I would have called him a racist.you got super racist Maxine water and I guess now racist Eric Holder spouting off at the mouth silent talk and then of course you got this racist lady in Georgia who’s taller and that the illegals should be able to vote.these people study nothing but beer politics because I know most of us don’t know a damn thing about politics and they’re both of them on their race.they count older constituent ignorant so they don’t know what kind of asshole tricks they’re pulling. You got these morons Transit who the people in the South and then you’ve got the Muslim committee of Camilla Harris and Cory Booker the Farrakhan gang trying to fear stroke everybody else in the country what pathetic morons.They want to hear the messiah’sObama’nites left over black people in the government will leave you on welfare and give you Medicaid and pay everything for you so you can lay up on your ass just hope for us that’s the way it’s been since 1965 and that’s the way it will continue being do you thinkit’s by accident that they black women have 10 children by 10 different fathers and live in the projects are all Section 8 hell that’s what they wanted why should I settle for one man when they can have 10 for 10 different children and collect benefits for each one of them that’s the African woman’s dream.Enough of this bullshit political stuff if you think every time somebody says monkey or gorilla but they’re talking about you apparently you must feel that you’re a monkey( April Ryan)or gorilla get a life.By the way talk to your CNN boy Don (The race baiter) lemon about as he calls them ignorant uneducated Negroes or house Negroes and laughing his ass off about it I’m sure that makes you feel really proud of him especially with him and Cooper Anderson both think we’re there probably laying up in a silk sheet Bed drinking wine making love and laughing and making fun of crazy crackers and Negroes.
Walter Cason
October 16, 2018 at 6:46 am
What a RACIST DIE HARD INDIVIDUAL, I am White and you are so out of line, or you human, this is what the world doesn’t want or need parasite like you, leave this earth
What God made of this world is goodness and love and you are trying to tear it up, GOD IS WATCHING ALL OF YOU THAT FEELS THIS WAY ABOUT HUMANITY, and believe me your day is at judgement time. And this source of opinionated individuals should not allow such garbage to be published. God bless all of you hateful individuals.
Dervin s
October 16, 2018 at 8:57 am
I have 10 kids with your mother.
Dervin s
October 16, 2018 at 9:03 am
I have 10 kids with your mom.
Susanne Suchodolski
October 16, 2018 at 9:43 am
Environmental economics is never pay off the picture!! What has happened to our water and sea life is monetarily priceless!! No track on all the money it cost every breach and river business that lost money!! Keep your extra jobs, I would like clean water!!
Rick
October 17, 2018 at 8:05 pm
Ron Desantis is a Yale and Harvard Law graduate. He enlisted in the Navy and served in the JAG corps. Although he served as an attorney, he was deployed on the ground as an advisor to the Navy Seals. After his Navy career, he was elected as a Congressman from Florida. He sponsored significant legislation and is a published author on the negative effects Obama had on the US economy.
Andrew Gillum went to FAMU and has been a politician since college. His only real experience is serving as a Tallahassee city commissioner and later as the Mayor. He has never had a real job and is widely know as failure during his term as Mayor.
Please tell me how Gillum is qualified to be the next Governor of Florida?
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