McCain Offers Bush Third-Term Stimulus Proposal: ‘Make Bush’s Tax Cuts Permanent’
McCain Offers Bush Third-Term Stimulus Proposal: ‘Make Bush’s Tax Cuts Permanent’
In a New York Times op-ed yesterday, former Labor Secretary Robert Reich argued that, in the face of a deepening recession, the government must continue to spend to stimulate the economy. “Without adequate public investment, the vast majority of Americans will be condemned to a lower standard of living for themselves and their children,” he wrote.
To head off the prospects of a severe recession, the Democratic leadership in Congress is “seriously considering” a large fiscal stimulus proposal, which would send a significant amount of money to states and cities – many of whom are announcing major cuts in services and layoffs due to budget shortfalls.
The first stimulus passed by Congress and signed by the President earlier this year, which sent out $600-$1,200 tax rebate checks to most individuals and couples, has been widely credited with helping deliver modest 2nd quarter growth in 2008. The new Democratic plan would offer new federal spending on infrastructure, extend unemployment insurance benefits, and expand the food stamp program.
John McCain, however, isn’t keen on delivering a stimulus for middle- and lower-income Americans. Instead, his campaign is recommending making Bush’s tax cuts for the wealthy permanent:
Senator John McCain, the Republican candidate, is less enthusiastic. His campaign prefers, as a stimulus, making President Bush’s tax cuts permanent and lowering corporate tax rates. But the McCain camp does not reject out of hand the Democratic proposal now taking shape.
Extending the Bush tax cuts would deliver nearly $1.2 trillion to the top 1 percent of households and would likely continue to reduce economic growth over the long run.
Despite aggressively pushing for a $700 billion bailout for Wall Street, the White House has threatened to veto a second stimulus targeted at the middle-class. Press Secretary Dana Perino helpfully recommended that “the best way to help” the economy is for unemployed people to simply “get back to work.”
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52 Responses to “McCain Offers Bush Third-Term Stimulus Proposal: ‘Make Bush’s Tax Cuts Permanent’”
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Get yourself to the home, you crazy old coot!
October 10th, 2008 at 10:27 amI'm sick of rich people looting this country. There's more of us than there are of them, and we will stop them.
October 10th, 2008 at 10:27 amZooey Says:
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Get yourself to the home, you crazy old coot!
lol, you're assuming he knows the way..
October 10th, 2008 at 10:30 am"Despite aggressively pushing for a $700 bailout..."
Um, Faiz, I'm no financial genius but I think the bailout cost was a bit higher than seven hundred dollars.
October 10th, 2008 at 10:30 amjust getting here - OT, but i've got to know -
DID ANYONE SEE OLIVER STONE ON COLBERT LAST NIGHT???
WAS HE JOKING??? PLEASE TELL ME HE WAS JOKING !!!
October 10th, 2008 at 10:31 amLungman424 Says:
lol, you’re assuming he knows the way..
October 10th, 2008 at 10:30 am
Oy, you're right. I'll have to drive him...
October 10th, 2008 at 10:31 amZooey, ...they've got the guns but we've got the numbers. Come on!
October 10th, 2008 at 10:33 amWhy does McCain hate the middle class so much?
October 10th, 2008 at 10:33 amThanks #4. Corrected.
October 10th, 2008 at 10:33 amBecause the Bush tax cuts have obviously worked great so far...
October 10th, 2008 at 10:33 amKaty, I saw it as well, and believe the whole interview was done with tongue firmly planted in cheek.
October 10th, 2008 at 10:35 amKaty, he was. He had it dialed though, just as well as Colbert does. Masterful. He had me going at first, but he said it's the best movie he's ever made about a president. Remember! JFK!
October 10th, 2008 at 10:36 am“the best way to help” the economy is for unemployed people to simply “get back to work.”
Not even a simple check to help regular Americans offset high energy costs or doing more to create jobs stimulating the middle class, but those sliver of unemployed people living on golden parachutes don't need to help the economy by getting their ass back to work, I take it, Purina?
October 10th, 2008 at 10:36 amMcGambler has been dealt a bad poker hand this year.
Still, he would prefer to see us, the American taxpayer, pay off Wall St. by injecting huge sums of money we don't have.
It's time to cut him off from the public subsidies he's enjoyed the past quarter century.
McGamble & Scarahcudda; biggest jokes yet in the 21st Century.
October 10th, 2008 at 10:36 amAssuming 300 million total population and then assuming 100 million 'households' the top 1% would equal 1 million households.
October 10th, 2008 at 10:37 amSo 1.2 trillion divided by 100 million = $1,200,000 to each household that by definition as the top 1% already have at least $1 million in net worth.
McCain continues to worship at the Ronald Reagan altar and still believes trickle down economics works. In the last week these rethugs have all convinced themselves that the housing crisis is all because Barney Frank made the banks give loans to brown people and they've already forgotten that it's propaganda they made up for the election.
October 10th, 2008 at 10:37 amLook at all the jobs created with those tax cuts! Oh, hold on a second...
October 10th, 2008 at 10:37 am"Secretary Dana Perino helpfully recommended that “the best way to help” the economy is for unemployed people to simply "get back to work."
Or simply, let them eat cake...
October 10th, 2008 at 10:38 amMcCain has no ideas to fix the economy. He knows he is cooked on that issue - why else would he bring up Ayers?
http://www.sunstateactivist.org
October 10th, 2008 at 10:38 amkaty, I believe he was doing Colbert for Colbert. That being said he was probably hoping that the rightwingnuts wouldn't get it and might learn something if they saw the movie.
October 10th, 2008 at 10:40 amCertainly, no surprise in McCain's callous indifference to those working for their living. As the scion of a family of great privilege, McCain grew up with every advantage and showed little effort or responsibility in his education or military career--he survived in school and the Navy only through his parents' constant bailing him out of trouble for his sloth and bullying. No wonder he has no regard for the struggles of working stiffs!
October 10th, 2008 at 10:40 amExactly Doc Rock. He's W with a worse disposition and a hotter temper.
October 10th, 2008 at 10:43 amObama and Biden need to hammer them on this one. Many many many economists said once upon a time that massive tax cuts lead to recessions. Correct me if I'm wrong, but weren't things pretty rough before the banks collapsed? So you could say the tax cuts for the rich at least in part is a causation to the current crisis.
October 10th, 2008 at 10:43 amI hate to break to conservatives out there who think even the slightest tax increase is evil, but after the last eight years of record deficits and ever decreasing revenues, a tax increase of some form is inevitable.
October 10th, 2008 at 10:44 amMcCain losing ground with working-class whites
The McCain camp doesn't care to win any of these people back. They're all traitors in their eyes, having failed the GOP loyalty test.
For those staying on, however, you'll be treated to off-beat ads running about Dr. Ayers-Obama relationship as terrorists plotting to DESTROY America. Your free battleship game will be in the mail shortly.
For those into logic and reason, Republicans Also 'Palled Around' With 'Terrorist' Ayers
October 10th, 2008 at 10:48 amUm...how will maintaining tax cuts ALREADY IN PLACE "stimulate" anything? Perhaps they may have stimulated something when they were first enacted but that time is long past. And don't get me started on how cutting taxes for corporations will suddenly cause the fat cats to forgo obscene profits and lower the cost of their goods and services to benefit everyone.
New tax cuts might create more stimulation, but it's likely that would be overwhelmingly offset by skyrocketing the debt into another galaxy. In fact, we are in such deep doo-doo debtwise now that I don't hold any hope that EITHER candidate will be able to make good on their tax relief proposals.
October 10th, 2008 at 10:49 amLisa FTW Says:
"Why does McCain hate the middle class so much?"
The middle class is an enigma to John McCain. Raised in a military family, he has always relied on government supplied healthcare. He makes a very good salary off the backs of taxpayers for a job in the Senate that he doesn't take too seriously (not to mention his Social Security and disability checks). He can't understand why people would actually work for the money that they earn, much less work hard for that (paultry) salary. Aside from five years spent in Hanoi as a token celebrity prisoner son of an Admiral, his entire life has been a windfall of government handouts, lobbyist money, his wife's money. He is not capable of understanding the middle class mindset. Struggling to pay a mortgage, car payments, tuition payments, groceries, taxes, healthcare costs, dwindling retirement savings, caring for aging parents, all on less and less take-home money every year...NONE OF THESE ARE THINGS THAT HAVE EVER BEEN A CONCERN PERSONALLY OR POLITICALLY FOR MCCAIN! The middle class is truely a mystery to Senator John McCain. Come to think of it where his clean clothes come from is a constant mystery to John McCain. For at least the last thirty five years, anything McCain has ever needed has been handed to him. How can anyone expect him to feel empathy for average Americans?
October 10th, 2008 at 10:49 amkass, lone voice, shayne - thanks!
really, i could not tell, and it only got worse for me as it went on... i should've known, but any more, these days, WHO knows!?!
i mean, whodduthunkit that the "obama is bringing race into the race" meme would even be attemted...
seeing all those crazy deluded people is making me ever fearful...
October 10th, 2008 at 10:49 amShayne Says:
"McCain continues to worship at the Ronald Reagan altar and still believes trickle down economics works."
Maybe it does work Shayne. All that money that was given to the rich by Reagan should finally trickle down to the middle class in about another twelve years or so. You just have to be patient. Jeez what a bunch of whiners!
snark/off
October 10th, 2008 at 10:53 amGL2814 Says:
I hate to break to conservatives out there who think even the slightest tax increase is evil, but after the last eight years of record deficits and ever decreasing revenues, a tax increase of some form is inevitable.
You're right, a reversal of the tax cuts is more appropriate. Note that Obama/Biden made clear that the wealthy wouldn't pay anymore in taxes than they did under their nostalgic god, Ronald Reagan.
October 10th, 2008 at 10:54 amLook it is quite easy see, if you do not find an equilibrium with taxes you'll find that it become inelastic. What we've seen with these tax cuts is a good example of the law of diminishing returns. Any good accountant could tell you that this was way wrong before, but even more wrong now. It kills me to some middle class or even low income slackjawed yokels defending a tax cut that they aren't the recipient of.
October 10th, 2008 at 11:01 amRepublicans have to believe that trickle down economics work, otherwise that would prove Reagan wasn't infallible, which would lead to the implosion of their party.
October 10th, 2008 at 11:01 amW was the first to issue tax cuts in a time of war. McCain wants to continue it. That is what is meant by when it is said not wanting to pay taxes is unpatriotic. Sorry, taxes have to fund that war. You cannot continue to borrow money to fund a war. That is the height of unpatriotic. Americans are supposed to be called on to sacrifice something during a time of war, but these 'repubs' don't ask that. Go shopping W said. I used the quotes around repubs since they are only people using that name. They are not the Eisenhower or Goldwater repubs that are so alien to these neocons.
October 10th, 2008 at 11:02 amYeah, cause tax cuts for the wealthy have already done so much to stimulate our economy. Not.
October 10th, 2008 at 11:04 amWould somebody get McCain an old copy of SimCity? Just playing that would increase his current knowledge of economics about a hundred-fold.
October 10th, 2008 at 11:06 ammisshusseinmolly Says:
Would somebody get McCain an old copy of SimCity? Just playing that would increase his current knowledge of economics about a hundred-fold.
You'd first have to teach him how to use a computer...
October 10th, 2008 at 11:10 amYou can bet that Obama will pass a second stimulus package aiding the states and infrastructure, and an energy stimulus package aiding Americans who've been battered with high energy costs. Add this to his middle class tax cuts.
If you aid those who need the aid, that is usually much cheaper and pays for itself.
October 10th, 2008 at 11:11 amMcWars Says:
If you aid those who need the aid, that is usually much cheaper and pays for itself.
Exactly. The backbone of the economy is the middle class. Boost them up, and they will spend and invest, which helps the economy. We all get this, but the question is do they really not get this, or are they just ignoring it because of personal greed?
October 10th, 2008 at 11:15 amI think the republicans have dissociative disorder. The want tax cuts and funding for the war AND say they can help main street. Just like their attitude towards the Iraqis, in on breath they say muslims are terrorist and turn around and say we need to stay the course and help these poor Iraqis.
October 10th, 2008 at 11:16 amWow. That's really a "Mavericky" idea. Non-Bushlike at all.....
October 10th, 2008 at 11:21 amHow does Perino "get back to work" the unemployed in the face of 9 straight months of job reductions? Apparently she is as unconcerned about how stupid she sounds as she is with the unemployed workers of America. Why didn't she simply say "let them eat cake" because that is exactly what it sounded like.
October 10th, 2008 at 11:23 amFor over 30 years now, I have watched as Republicans over and over again have touted trickle down economics (except for an brief period of time in the Republican primaries of 1980 when George HW Bush called Reagan's economic plan what it is: "Fuzzy math" -- before he jumped on board and became the Veep).
I have come to the conclusion that Republicans do not believe in Physics. Cause and Effect. The Law that states every action has an equal and opposite reaction.
This is understandable since they don't really believe in education of the electorate.
They cannot see that the policies that are the end result of the "free market" is what we are experiencing now in the stock market and housing markets.
They cannot see that having foxes guard the hen-house is not just the most wonderful idea in the world. (Or that having industries regulate themselves might not be a conflict of interest)
They cannot see that Man's activities (burning fossil fuels) may contribute to pollution and/or global warming.
They cannot see that Industrial pollution of the air, water and soil might just cause cases of cancer or other ills.
They put profit over people ALWAYS.
WE DESERVE a government that will put People over Profit.
So Please. VOTE!!!!
October 10th, 2008 at 11:34 amImagine how much better off the US and our economy would be if Chimpy's idiotic tax cuts for his wealthy cronies and his imbecilic Iraq adventure were removed from the equation .........
October 10th, 2008 at 11:39 amYou're right MCMetal! The criminal failed war is the best way to waste billions to bring this nation to ruin. That's part of the neocon plan. They are letting this country bleed itself to death with the criminal war.
The tax cuts for the rich is how they'll bleed the middle class to death. It's a way for the rich to hog up all the money leaving members of the middle class fighting each other over crumbs.
October 10th, 2008 at 12:53 pmI think what would help McCain's campaign the most at this stage would be for Bush to endorse Obama.
October 10th, 2008 at 1:46 pmThere are so many things I’d like to say…but can’t.
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October 10th, 2008 at 2:25 pmAny lawyers out there? What's with this "PERMANENT" thing? How---shy of amending the constitution---is a tax cut made "permanent"? Is this an I-double-dog-dare the next president/congress to change it?
WTF is permanent? Coming from an administration that doesn't give a damn about the constitution it sounds like monarchy.
October 10th, 2008 at 2:25 pm"Permanent" until repealed or amended.
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October 10th, 2008 at 2:28 pmHelp me out here. I remember about 6 months ago a tax rebate was gonna stimulate the economy.
How'd it work ?
October 10th, 2008 at 2:58 pmThnx greenpagan. So what isn't "permanent until repealed or amended". Are they really just saying that they aren't putting an expiration date on it, hence it's permanent? A little hyperbole to inspire confidence in the top percentile?
October 10th, 2008 at 8:02 pmAfter 8 years of proof that giving tax cuts to the rich does not help our economy or the middle class, McBush is still clinging to that idea. Oh well, there's no cure for stupid.
October 17th, 2008 at 12:14 am#LibertyLover Says:
For over 30 years now, I have watched as Republicans over and over again have touted trickle down economics
I like it that Obama is saying that we need trickle up economics. We've tried trickle down and it didn't work. So, it's time to try trickle up.
October 17th, 2008 at 12:34 am