|
We all know that the single most important policy of the Republicans is tax cuts, tax cuts, and more tax cuts for the rich. Their ultimate Golden Grail is making these tax cuts forever permanent. Almost as important, is to ensure that President Obama does not serve a second term. As I understand it, the (inflated) tax cuts were extended for the super rich for two years along with the extension of unemployment compensation for one year. President Obama has stated he did not agree with the tax cuts for the super wealthy but made this deal to preserve the middle class tax cuts and provide relief for the unemployed and the working poor.
Some repubs are now saying this is the trap that will ensnare the President regarding the current rate of high unemployment. If the economy continues to slowly improve (i.e. unemployment rate drops) the repubs will vigorously claim the reason for the improvement is due to the “trickle down” and “job creation” effect from the rich having more money, NOT from any of the stimulus program(s) from the President’s recovery agenda/platform, this would be their justification once again, requiring the absolute need to extend or make the rich tax cuts permanent. On the other hand, if there is no significant improvement to the economy, the repubs will likewise vigorously claim it is due to the failed recovery policies of the President.
I would hope the President’s response would be contrary by declaring that if the economy is factually recovering, the need to reduce the deficit would require the “tax cuts for the rich” to sunset with no reason to once again extend or make permanent. Likewise, if the economy/unemployment does not substantially improve over the next year or so, the tax cuts for the super rich were a tremendous waste of potential tax revenue that once again should sunset and that tax revenue be applied to help pay down the nation’s debt.
Could this be (at least part) of the reason why President Obama agreed to the extension of unemployment benefits for 1 year versus the wealthy tax breaks for 2 years?
|