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President Bush Visits Silverado Cable Company, Discusses Economy, Tax Relief
THE PRESIDENT: I've come to Silverado for a couple of reasons: One, to remind our fellow citizens how important small businesses are to the backbone of our economy. These two brothers started this company with five employees --
MR. BOB SIMPSON: Five employees.
THE PRESIDENT: How many you got now?
MR. BOB SIMPSON: We have 70.
THE PRESIDENT: Seventy. One of the things that's important in law is to encourage certain behavior, and the stimulus package we passed encouraged investment. And so the -- these guys were showing me a new laser machine they purchased this year, and they purchased it this year because the stimulus package provided a tax incentive to do that. And the reason why that's important is when the economy slowed down, we wanted to stimulate activity.
And so the fact that they purchased the machine meant somebody had to make the machine. And when somebody makes a machine, it means there's jobs at the machine-making place -- plus their employees are more productive, they're more competitive. It makes it more likely they're going to keep their business and expand their business.
And so the first thing I want to do is, one, thank you for being entrepreneurs, and two, remind our citizens that this stimulus package that we passed in Congress is just beginning to kick in. And it's going to make a positive contribution to economic growth.
The other thing it's important to remember is that a company such as these -- as this one -- pays taxes at the individual income tax rate. So when you hear these politicians campaign and say, "We're going to raise taxes, oh, just on the rich people," they're raising taxes on companies like Silverado.
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