The Bush tax cuts are not the answer, they are part of the problem
There has been a lot of talk recently about the Bush Tax Cuts. You know the cuts that are heralded as life and economy changing by Republicans and some Democrats. All of whom by the way are members of the group of Americans that are most positively affected by the tax cuts... the wealthy.
After taking office and trying to stop an existing recession, the Obama administration were railed on by Republicans for their spending on things like Stimulus and appropriation expansions that benefit children, the elderly, the poor and the unemployed. The big Republican worry was the deficit. Now I could waste a paragraph to explain the irony of the same group of people who ran up the deficit to record levels during the Bush Administration with the ending of "Pay as you go" policy and of course paying for a war throughout the middle east, but I wont. It seems that irrefutable common sense is something that no matter how hard you try just doesn't sink in to the unenlightened right. I would end up with dozens of comments on the facebook page from people arguing that it is not hypocrisy and it is all that socialist Obama's fault. So rather than point out the hypocrisy of the GOP I am going to work on pointing what should be the obvious reason we end the Bush Tax Cuts.
Lets start by talking about why the tax cuts exist in the first place. The Bush Administration with its barely rudimentary understanding of Trickle down economics put into effect a policy that was developed in the early 80's when the global economy consisted of only German and japanese manufacturing. It also was a time when Wall street winners were mostly companies that both made and sold their products in the continental United States. People used the tax cuts during the Reagan administration to invest in companies that did in fact put some people to work, put capitol into start up companies. Some of whom are still flourishing. Of course they are flourishing these days because they have moved their manufacturing base to other countries to take advantage of cheap labor. I'm sure I don't need to point out that when these corporations move overseas and take advantage of outsourcing that it takes manufacturing jobs away from this country. My right wing friends will point out that it increases jobs in the service industry or blah blah blah "every thousand mobile phones made in China leads to a few jobs selling them here" or "the environmentalists ran the factories out of this country". Do I even need to battle or debunk these statements?
Republican Eric Cantor made the Sunday Morning talk show circuit heralding the new GOP agenda which seems to be built around saving the wealthy their beloved extra money they keep from the tax cuts. CHECK OUT DETAILS AND VIDEO HERE.
After taking office and trying to stop an existing recession, the Obama administration were railed on by Republicans for their spending on things like Stimulus and appropriation expansions that benefit children, the elderly, the poor and the unemployed. The big Republican worry was the deficit. Now I could waste a paragraph to explain the irony of the same group of people who ran up the deficit to record levels during the Bush Administration with the ending of "Pay as you go" policy and of course paying for a war throughout the middle east, but I wont. It seems that irrefutable common sense is something that no matter how hard you try just doesn't sink in to the unenlightened right. I would end up with dozens of comments on the facebook page from people arguing that it is not hypocrisy and it is all that socialist Obama's fault. So rather than point out the hypocrisy of the GOP I am going to work on pointing what should be the obvious reason we end the Bush Tax Cuts.
Lets start by talking about why the tax cuts exist in the first place. The Bush Administration with its barely rudimentary understanding of Trickle down economics put into effect a policy that was developed in the early 80's when the global economy consisted of only German and japanese manufacturing. It also was a time when Wall street winners were mostly companies that both made and sold their products in the continental United States. People used the tax cuts during the Reagan administration to invest in companies that did in fact put some people to work, put capitol into start up companies. Some of whom are still flourishing. Of course they are flourishing these days because they have moved their manufacturing base to other countries to take advantage of cheap labor. I'm sure I don't need to point out that when these corporations move overseas and take advantage of outsourcing that it takes manufacturing jobs away from this country. My right wing friends will point out that it increases jobs in the service industry or blah blah blah "every thousand mobile phones made in China leads to a few jobs selling them here" or "the environmentalists ran the factories out of this country". Do I even need to battle or debunk these statements?
I will show the reason why the tax cuts need to go for the wealthy by simply stating
THEY DON'T WORK!!! For those that want proof of why they don't work....
They've been in place for a few years and all they have led t0 is wealthy people investing even more money into companies that continue to ship jobs over seas. They invested in banks that recklessly gambled with mortgages of millions in exchange for dividends and who can blame them. The system is set up to help the rich get richer. Even now the wealthy are getting wealthier thanks to things like TARP helping keep the stock market afloat, and of course the real estate grab that's going on. You know where the wealthy are buying up foreclosed upon houses like they are playing Monopoly. In fact statistically this is the biggest land grab since the S&L crisis of the late 80's where minds smarter than mine will link to the end of the Reagan Tax cuts era.
Under the Clinton era of a higher tax rate for the wealthy we were in an era of Job Creation in this country. Now dont get me wrong Ive been quoted hundreds of times saying my problem with Clinton is he created Jobs but didnt create careers. My problem with Bush is that he created millions of jobs.... in China and India.
So higher taxes for the wealthy led to Job creation under Clinton. Lower tax rates for the wealthy led to the mess were in now.
And now I rest my case
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