The Repub proposal to avert the “fiscal cliff” was instantly rejected and derided by the Dems. Dems say the numbers don’t add up. For those living under a rock, the Repubs have offered revenue increases by eliminating and capping tax deductions most often used by America’s wealthiest.
White House Press Secretary Jay Carney called congressional Republicans “fiscal cliff” proposal “magic beans and fairy dust” today.
“It’s not a plan to say we’re going to magically increase revenues,” Carney said. “It’s magic beans and fairy dust.”
Senate Majority Leader Harry Reid:
“They’ve got to come [up] with some specific revenue,” Reid said of House Republicans. “It’s a simple question, as President [Bill] Clinton said, of arithmetic. Arithmetic. You can’t get from here to there unless you raise the rates. You can’t do it.”
The president has repeatedly said there’s plenty of room for compromise. But really what this boils down to is a matter of fairness and a matter of math. Giving certainty for the middle class, that is absolutely essential. I mean there is no way mathematically, if you look at the Republican’s proposal, that you can get to the kind of deficit reduction that we need to with preserving the middle class tax cuts by not increasing as the Republicans refuse to do the upper tier rates. And there’s room for discussion, but that has to be part of the package.
So, how does this relate to the presidential campaign? Mitt Romney proposed a tax decrease for all Americans. Much of the imagined revenue loss would be made up by reducing tax deductions. This plan, of course, was automatically rejected by the statists and the Obama campaign said limiting the deductions wouldn’t raise enough revenue to offset the rate decreases. At the time, Dems stated that Romney’s tax cut’s would cost about $5 trillion over ten years. But, Romney’s tax deduction cap proposal would only come to about $1.7 trillion over ten years. That was the Dem argument back then. They often cited left leaning Tax Policy Center for these numbers. Here is Deputy Campaign Manager Stephanie Cutter making this argument two months ago.
Let’s review Barry Zero’s proposal. He say he wants to raise $1.6 trillion over ten years by raising tax rates. He also wants to spend more on a mini-stimulus and rape Medicare further. The Repubs want to raise the revenue by eliminating or capping tax deductions. Now, the Dems argue that we mathematically can’t raise $1.6 trillion over ten years. But, just 2 months ago, they argued one could only raise about $1.7 trillion by capping deductions.
Ironically, Repubs got this idea from the head Dem, himself. Enter Barry Zero in 2011.
My goodness the duplicity and hypocrisy of the Dems know no bounds. But, if the American public buys into their lies they deserve every bit of this inanity.
Note: I am not endorsing the Repub idea. I think it is incredibly vapid to remove earned wealth in any form from a struggling economy. I see little difference in the merits of either plan. I’m only pointing out one of the lies the Dems seem to daily engage in.