August 30, 2010

Boehner’s Pro Growth Message

By Lawrence Kudlow, Rasmussen Reports
Monday, Aug. 30, 2010

It’s a bit too early for House Republican leader John Boehner to measure the drapes and pick out new wallpaper. But the Intrade pay-to-play prediction markets are now showing a 76 percent chance of a GOP House takeover in November, along with a 60 percent probability that Republicans will capture at least seven new Senate seats.

So Boehner’s lengthy broadside attack on Obamanomics at the City Club of Cleveland this week takes on special meaning. Headlines following the speech were all about Boehner’s call for the resignation of Obama policy generals Larry Summers and Timothy Geithner. But the more substantive question is this: What might a newly ascendant congressional Republican majority actually stand for?

Republican leaders are expected to publish a governing agenda next month, probably an updated version of the bold and successful Newt Gingrich/Dick Armey “Contract With America” of 1994. Boehner is a key alumnus of that effort. But folks around the country are waiting to see if congressional Republicans will make a strong and aggressive case for a true economic-growth and jobs agenda now, in 2010.

The stock market, for example, has known for months that the GOP will capture the House. But investors are not yet confident that the GOP will focus on gross domestic product, instead of mere ambiguous generalities, trying to be all things to all people. Indeed, if the Republicans borrow heavily from the tea party “Contract From America” — and its call for constitutional limits to government, tough spending restraint, free-market reforms and supply-side tax policies — stocks could mount a mighty rally in the weeks ahead.

Click here to continue reading.