Recent news that has been surprising to the mainstream media and liberals, but not to those whom understand economics, has shown that Treasury revenues are up about 15% over this period last year, and Bush’s much-ridiculed goal of cutting the deficit in half by 2009 will not only come true, but will actually arrive in 2008, a year early, should the current trend continue.

The good news is obvious: supply-side economics, specifically the notion that lower taxes encourages more economic activity, which will actually boost tax revenue for the government, has been proven yet again to be true. Liberals who claim that tax cuts “only benefit the rich” and are anathema to the federal budget, which only contribute to higher deficits, are soundly pimp-slapped by the recent news.

The bad news: the decrease of the deficit and the economy-boosting tax cuts help to hide the irresponsible and reckless spending spree that this Republican Congress and administration have taken. The Republican majorities in the House and Senate have been successful with these tax cuts despite themselves. This will likely only embolden mainstream congressional Republicans with Potomac Fever who will continue the spending binge and just count for tax cuts to be their savior.

The results of these tax cuts show the fundamental truths of supply-side economics: let people keep more of their money, and their will be more economic activity; lower (preferably eliminate, but who knows if that will happen) taxes on stock dividends, and it will spurn increased interest in the stock market and help drive up investment, most importantly amongst the middle class; allow businesses to pay less taxes, and they will be more productive in their industry, be able to employ more workers, and invest more funds in research; all of these factors contribute to significant economic expansion, which benefits all Americans. Lest we not forget, and just to throw the liberals a bone, the economic growth encouraged by tax-cutting also increases tax revenues for the government (like they need more money).

Message to liberals: wise up and realize that a freer economy that allows for individuals to keep more of their money to save, spend, and invest on their own, and for companies to keep more of their profits to research, invest, and dole out to fat cat CEO’s who help drive the economy ;), is the path to a more vibrant economy and even higher tax revenues. This country was founded on economic freedom because the private ownership of property and assets is one that is fundamental to the individual citizen’s independence of the government.

Message to Republicans in Congress: don’t quit while you’re ahead and continue on your drunken, irresponsible, reckless, and unconstitutional spending just because higher tax revenues will still cause the deficit to shrink. There’s still a large deficit. There’s still thousands and thousands of unconstitutional earmarks doled out in bill after bill, year after year. There’s still the looming entitlement crisis, only increased by your pandering to liberals with Medicare Part D. Start acting like Republicans. Start listening to Pence, Shadegg, Hensarling, Coburn, Flake, Toomey, McCain, et al. Quit putting people like Jerry Lewis in charge of Appropriations. Quit listening to “old bulls” like Lott, Cochran, and Stevens about fiscal matters just because they have seniority and have been there for a while (too long, but that’s another article for another day). Quit sending or trying to send federal dollars to relocate a railroad in Mississippi for a private company, to renovate a city’s swimming pool in California, or to build an expensive bridge connecting a town of 200 to an island of 50 in Alaska when there is already a ferry service. Start paying attention to the Constitution, and start respecting the tenets of Federalism.

Supply side economics work. But there is still much more to be done.