Larry Kudlow over at NRO:
“The purpose of economic policy is growth, jobs, and prosperity,” supply-side founder Art Laffer told me today. As such, Laffer has endorsed Newt Gingrich and the Gingrich 15 percent flat-tax plan, which includes the 12.5 percent corporate-tax reform. “It’s nothing against the other candidates,” Laffer said. “But Newt’s plan is right, and therefore endorsing him is the right thing to do.”
Laffer is concerned with the fact that Mitt Romney has no tax-reform plan, and he worries that Romney doesn’t believe in the incentive model of economic growth. “He’s a good man,” Laffer said. “And he would make a good president. But he needs a bold tax plan.”
Art Laffer believes the Gingrich plan would help jolt the economy to 4 or 5 percent growth. And he also is impressed that Gingrich has been talking about King Dollar on the campaign trail along with his supply-side tax strategy. …
Whether Gingrich’s supply-side bus tour and Art Laffer’s endorsement help him in the remaining days of the Iowa campaign remains to be seen. Polls suggest that Newt is a stock still looking for a bottom. His campaign to use federal marshals to haul judges before Congress is way off the economic-growth message and did him a lot of damage. That’s what the latest polls suggest.
Now, if Gingrich can stay on message, and stick with supply-side solutions for growth, jobs, and prosperity, he could still bounce back over the next five days. But he must be disciplined and stay on message.
Herman Cain showed the efficacy of sticking to a simple economic message. Newt should have been “15 percent flat tax, 12.5 percent corporate tax” every day. Rinse and repeat. As I said the other day:
It surely helps Gingrich that he is back on message, talking about his econ plan and the flat tax rather than kid janitors, the space program, and dealing with a renegade Supreme Court. But is three times really the charm? The implosion of his campaign team and some tough remarks about Paul’s Ryan Medicare reform plan turned off many GOPers last spring. Gingrich rebounded only to fade again. Not sure if voters will give him a third look.
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