With the New Hampshire primaries less than a day away, Ron Paul is holding on to a distant second place, but he is hoping for a last-minute surge to bring him closer to Mitt Romney. His economic plan will be a major focal point as he pursues that surge.
With that in mind, here is an overview of Paul's economic proposals. Click here for a comprehensive look at his platform.
Paul on job creation:
- Eliminate the income tax.
- Lift unnecessary regulations on small businesses and entrepreneurs.
- Eliminate the Federal Reserve, which he claims has enabled the over 95 percent reduction of what our dollar can buy.
- Legalize gold and silver to compete with paper currency and prevent inflation.
- Authorize offshore drilling and other energy projects.
- Eliminate highway fuel taxes and create tax credits for using energy-efficient vehicles.
Paul on tax reform:
- Eliminate taxes on capital gains, estates and tips.
- Repeal the 16th Amendment, which authorizes the federal income tax.
- Replace the income tax with a fair tax, or a flat national sales tax.
- Create new tax credits and deductions for educational costs, health care and alternative energy.
- Eliminate the Internal Revenue Service.
- Veto any unbalanced budget and any attempt to raise the federal debt ceiling.
Paul on entitlement reform:
- Has called federal entitlement programs unconstitutional, but would phase them out gradually, not immediately.
- Workers could opt out of Social Security, Medicare or Medicaid and set up private, tax-exempt savings accounts instead.
- Has not offered other specific reform proposals, like raising the retirement age or reducing benefits.
Paul on health care reform:
- Repeal Obamacare.
- In the long term, phase out Medicare and Medicaid.
- Eliminate federal restrictions on private, untaxed health savings accounts.
- Allow individuals to buy insurance across state lines.
- Create new tax credits and deductions for medical expenses.
- Create a payroll tax exemption for terminally ill employees and employees caring for terminally ill family members.
- Prevent FDA interference with Americans' knowledge of and access to dietary supplements and alternative treatments.