Forty percent (40%) of voters now see the economy as the most important voting issue of Election 2008. The latest Rasmussen Reports national telephone survey found that nothing else comes close. Fourteen percent (14%) see health care as the top issue, 13% name the War in Iraq as the top priority, and 12% say the War on Terror is most important.

Democrats, Republicans, and unaffiliated voters all name the economy as the top issue.

The focus on the economy comes as the Rasmussen Consumer Index shows consumer confidence has fallen to the lowest levels of the past five years. Just 22% rate the economy as good or excellent while 41% say it’s in poor shape. Other indicators compiled by Rasmussen Reports all show growing economic concerns. This includes the Hudson Employment Index, the Discover Small Business Watch, the Discover Consumer Spending Monitor, and the Country Financial Security Index.

While voters agree on the importance of the economy, there is less agreement on what that means. Fifty-three percent (53%) say it’s most important to create economic growth while 40% say it’s more important to reduce the income gap between rich and poor.

Republicans, by a 67% to 24% margin, say creating economic growth is most important. Democrats, by a 57% to 40% margin, place a higher priority on reducing income inequality. As for voters not affiliated with either major party, 56% say creating growth is most important while 34% take the opposite view.

Fifty percent (50%) of voters agree that the best thing the government can do to help the economy is to get out of the way by reducing taxes and regulation. Thirty-two percent (32%) disagree. Republicans agree with that approach by a five-to-one margin. Thirty-five percent (35%) of Democrats agree but 44% disagree. Among unaffiliated voters, 47% agree that it’s best for the government to get out of the way. Thirty-five percent (35%) of unaffiliateds disagree.

Forty-seven percent (47%) believe that the Chairman of the Federal Reserve Board has more control over the economy than the President of the United States. Thirty-seven percent (37%) disagree. Most Republicans and unaffiliated voters believe the Fed Chairman has more control over the economy. A plurality of Democrats believe the President has more control.

Forty-five percent (45%) of voters nationwide believe that the best thing the government can do to stimulate the economy is cut government spending. Twenty-seven percent (27%) say cutting taxes is most important while 15% believe cutting interest rates is most effective. Just 4% favor an increase in government spending to stimulate the economy.

An earlier survey by Rasmussen Reports found low expectations for Congress voters think the nation’s legislators are as likely to harm the economy as they are to help it.

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