Posts Tagged ‘tax cut’
October 5th, 2012 at 12:03 pm
CNN Host Dismantles Obama’s $5 Trillion Tax Cut Claim

Kudos to CNN host Erin Burnett for getting Obama campaign spokeswoman Stephanie Cutter to admit that President Barack Obama’s charge that Mitt Romney is campaigning on a $5 trillion tax cut is just wrong.

From a transcript provided by RealClearPolitics:

Erin Burnett, CNN host: So you’re saying if you lower them by 20% you get a $5 trillion tab, right?

Stephanie Cutter: It’s a $5 trillion tab.


Burnett: But then when you close deductions it’s not going to be anywhere near $5 trillion, that’s our analysis.

Cutter: Well, okay, stipulated. It won’t be near $5 trillion but it’s also not going to be the sum of $5 trillion in the loopholes that he’s going to close. So it is going to cost someone and it’s going to cost the middle class. Independent economists have taken a look at this. There aren’t enough deductions for those at the top to account for the number of tax cuts that they get because of Mitt Romney’s policy so you have to raise taxes on the middle class. As Bill Clinton said, it’s just simple math.

Burnett: Okay, they’ll just say that you can do that. There are other studies. I know the one to which you’re referring, but there’s also the possibility of economic growth.

Cutter: Prove it. Erin, prove it.

Burnett: We can’t prove either side, that’s all I’m saying, but the one thing that I can say is not true is the $5 trillion tax cut.

Cutter: I disagree with you. You can prove it. So then they should just say that they’re counting entirely on economic growth to pay for a tax cut. Which is an interesting theory because that is what George Bush and let’s look at how that turned out, we had the slowest economic growth since World War II.

Burnett: They’re not saying entirely, they’re saying closing loopholes and economic growth, both. I understand you disagree with it.

Cutter: But that still leaves you at least a trillion dollars short. The math does not work with what they’re saying. And they won’t name those deductions, not a single deduction that they will close because they know that is bad for their politics. Now look, this is the center, this is the core of Mitt Romney’s economic policy. Last night, he walked away from it, said he didn’t have a $5 trillion tax cut. He does. That’s what lowering the rates amounts to.

Don’t confuse them with the facts!

August 5th, 2011 at 2:31 pm
Dems Bashing Bush with Bad Math

Byron York eviscerates the common liberal meme that former President George W. Bush was worse on spending and taxes than President Barack Obama.  After showing that Bush’s tax cuts increased federal revenues and shrank deficits while Obama has increased the national debt at twice Bush’s pace, York ends with a resounding rebuke of the common “eight years of Republican rule” canard.

None of this is to say that George W. Bush had a good record on spending. He didn’t, and he’s fair game for criticism. But is it honest to condemn reckless spending in “eight years of Republican rule” when Democrats controlled the Senate for four of those years and the House for two? Is it honest to talk about the “cost” of the Bush tax cuts when federal revenues increased significantly while they were in effect? And is it honest to refer to Bush’s ballooning deficits when deficits actually trended down for much of his presidency — at least before Democrats won control of Congress?

Of course Obama partisans would like to pin the president’s troubles on Bush. But they should get their facts straight first.

July 30th, 2010 at 11:34 am
Friday, July 30, 2010: Meg Whitman’s Job Creation Strategy

For political observers looking for a glimpse into former e-Bay CEO and current gubernatorial candidate Meg Whitman’s (R-CA) job creation plan, a 34 page glossy magazine is available for free download (pdf) or delivery.  As both a PR document and a policy manual, the plan is impressive.  After listing the parade of economic horrible facing the Golden State, Whitman moves into prescription mode promising to promote tax cuts and streamline regulations that impede business.

Implementing any of these measures would help California.  Enacting all of them might actually save the state from financial collapse.  However, there is one addition I’d like to see that’s currently missing.

Tell the voters that governments can only create one type of job directly: a government job.  Whether it is a formal state position, a job that is made necessary to comply with a regulation or one to get a government contract, all of these jobs redirect talent and resources towards expanding the tax burden by increasing government spending.

A more sustainable model is implementing the kinds of policies Whitman is pushing; policies that create a tax and regulatory environment favorable to private sector job creation.  The more private sector jobs created means more people have more money, allowing government to lower tax rates while providing the same level of services.

In reality, Whitman as governor can’t create directly a single private sector job without picking winners and losers.  Instead, the most (and the best) she can do is create the conditions for success that allow private business to flourish and add workers.  Who better to educate the public on that point than a person with top-level business executive experience?