Election 2010

[phxcat]

Man for a second I was like "wait holy hell how did they bring the deficit down to $200 billion for next year, what did I miss"

Yeah, I was thinking "200 Billion- that's not bad!"

[NDTeve]

I just can't get on board with "the stimulus wasn't big enough" argument. And certainly not with people that claim this as fact and not up for interpretation.

[grovester]

it's an ecomomics thing, if you're going to do a "stimulus" it needs to be the correct size to "move" a certain size economy.  Ours kept unemployment from reaching perhaps 16%, a larger one would have perhaps brought the rate down from where it is today.  I don't recall at the time most anyone arguing for zero stimulus considering our predicament.  We collectively took a gamble that what passed was of adequate size, and now have to live with the cost/benefit ratio results.

[aknowledgeableperson]

The problem with the stimulus was that it was not all stimulus.  It contained funding for many social programs that were on the long Dem wish list, such as $2B for Head Start, that had nothing to do with the economy.

[chrizow]

The problem with the stimulus was that it was not all stimulus.  It contained funding for many social programs that were on the long Dem wish list, such as $2B for Head Start, that had nothing to do with the economy.

yeah, there is no correlation between education and the economy.

[grovester]

It also had tax cuts as a compromise to the republicans, even though they are the antithesis of stimulus.  Fat lot of credit that got him.

[NDTeve]

but how has it created sustainable jobs?

[grovester]

First off, by definition, they are not supposed to be sustained.  The stimulus is a substitute for the private sector that has withdrawn from spending due to the banking/credit crisis.  It is to bridge the gap until recovery or at least stabilization occurs.  That being said, lots of road crews didn't get laid off, lots of cops and teachers didn't get laid off, etc, etc, etc.

[AllThingsKC]

yeah, there is no correlation between education and the economy.

It's too bad Head Start couldn't use that $2B to educate people on how to lower the unemployment rate.

[KCMax]

Deficit reduction looks DOA

Deficit panel leaders' plan curbs Social Security

he leaders of President Barack Obama's bipartisan deficit commission launched a daring assault on mushrooming federal deficits on Wednesday, proposing reducing annual cost-of-living increases for Social Security, gradually raising the retirement age to 69 and taking aim at popular tax breaks such as the mortgage interest deduction.

As part of a proposal to wrestle $1-trillion-plus deficits under control, their plan would also curb the growth of Medicare. It came a week after voters put Republicans back in charge of the House and told Washington that the government is too big.

However, the plan by Chairman Erskine Bowles and former Sen. Alan Simpson, the co-chairman, doesn't look like it can win the support from 14 commission members that is needed to force a debate in Congress. Bowles is a Democrat and was former President Bill Clinton's White House chief of staff. Simpson is a Wyoming Republican....

Other proposals by Bowles and Simpson include:

_Increasing the gas tax by 15 cents a gallon to fund transportation programs.

_A three-year freeze in the pay of most federal employees and a 10 percent cut in the federal work force.

_Eliminating all congressional pet projects, known as earmarks.

[grovester]

http://msnbcmedia.msn.com/i/MSNBC/Secti ... _Draft.pdf

here's the pdf/powerpoint, seems pretty reasonable to me.

[phuqueue]

I haven't got time to read the entire PDF right now, but I'll try to get to it later.  I will say this part:

Pass tax reform that dramatically reduces rates, simplifies the
code, broadens the base, and reduces the deficit.

sounds like the same snake oil the GOP has been peddling.  Dramatically reduce tax rates and reduce the deficit at the same time?  Maybe the details of the plan explain how "broadening the base" alone is sufficient to meet that goal.  I don't trust anything that won't provide actual hard numbers.  They might be in here when you dig deeper, so I'm not gonna come right out and say this plan is BS, but color me suspicious until I have a chance to go through it and see what they're actually proposing.

[KCMax]

Could mean reducing overall rates but eliminating many of the current tax breaks. Don't know if that adds up though.

[grovester]

yes, all deductions on the table, and importantly, capital gains and dividends taxed as income.  so much for the hedge fund manager vote. 

[aknowledgeableperson]

yeah, there is no correlation between education and the economy.

Guess you want those preschoolers to start work rightaway.

[NDTeve]

First off, by definition, they are not supposed to be sustained.  The stimulus is a substitute for the private sector that has withdrawn from spending due to the banking/credit crisis.  It is to bridge the gap until recovery or at least stabilization occurs.  That being said, lots of road crews didn't get laid off, lots of cops and teachers didn't get laid off, etc, etc, etc.

why not help stabilization occur on its own?

[zlohban]

I haven't got time to read the entire PDF right now, but I'll try to get to it later.  I will say this part:

sounds like the same snake oil the GOP has been peddling.  Dramatically reduce tax rates and reduce the deficit at the same time?   Maybe the details of the plan explain how "broadening the base" alone is sufficient to meet that goal.  I don't trust anything that won't provide actual hard numbers.  They might be in here when you dig deeper, so I'm not gonna come right out and say this plan is BS, but color me suspicious until I have a chance to go through it and see what they're actually proposing.

They want to LOWER the effective tax rates to 8%, 14%, 23% BUT eliminate tax credits like the earned income tax credit that is a form of welfare.  Simply everyone who earns income will pay at least 8%. this seems very fair. Make a buck give the feds 8 cents or 14 cents etc.. I will actually be paying more at the 14% without any credits or mortgage deductions but I won't complain if they broaden the base and tax everyone.

A side note, my college economics professor always said eliminate paper money and make everyone use coins. That would eliminate monies being transfered without taxes being paid. Imagine exchanging drug money with big metal dollars.

[NDTeve]

They want to LOWER the effective tax rates to 8%, 14%, 23% BUT eliminate tax credits like the earned income tax credit that is a form of welfare.  Simply everyone who earns income will pay at least 8%. this seems very fair. Make a buck give the feds 8 cents or 14 cents etc.. I will actually be paying more at the 14% without any credits or mortgage deductions but I won't complain if they broaden the base and tax everyone.

A side note, my college economics professor always said eliminate paper money and make everyone use coins. That would eliminate monies being transfered without taxes being paid. Imagine exchanging drug money with big metal dollars.

Very interesting concept!!

[LenexatoKCMO]

Easier said then done - American citizens and businesses have steadfastly refused to accept any and all of the gov't's exhaustive efforts to introduce dollar coinage and there are an obscene amount of US paper bills in circulation; pulling them all back in could take a generation. 

[Highlander]

Jeb Bush's name being thrown around for a republican candidate in 2012.  Frankly, Jeb was the brother that should have been president 8 years ago.  More articulate and comes across significantly brighter than his older brother.  Republicans like him because of his sway with hispanic voters (from Florida Governor days).  For his part, he says he has no plans to run.