Taxing the rich has nothing to do with fixing the out-of-control and irresponsible policies festering in Washington. It is a distraction; it is harmful for growth, and it is harmful for society.
Timothy Geithner said the Obama administration is "absolutely" prepared to go off the "fiscal cliff" if the evil Republicans dare to refuse to allow the Bush-era tax cuts to expire for the job creators (i.e. those making over $200K per year). The non-partisan Congressional Budget Office finds that unemployment would rise from 7.9 to 9.1 percent by the end of 2013 if the Obama Administration allowed America to go over the cliff.
If America does not go off the cliff, but only taxed the "wealthy," that is also bad for America. This "Eat-the-Rich" tax increase will hurt growth and result in a loss of 200,000 jobs, according to the CBO. Obama supporters are quick to point out that growth would only be lowered by a little bit.
So why do it at all?
CBO: raising top tax brackets would lower growth next year by one-tenth of a percent, compared to a 1.3% hit if middle-class taxes rose.Â— StudentsforObama (@StudentsforO) December 6, 2012
Harry Reid tweeted a similar message.
Taxing the rich is not the solution. Those who make $200K can own the corner store or the local dry cleaners, and now they will not be expanding or hiring if they are continually battered with stifling government taxes and regulations.
Is this good for America?
Don't kid yourself. President Obama does not care about the deficit or the debt. He cares about the damaging concepts of "fairness" and "redistribution". It never occurs to some that the federal government, by taking from the producers and consistently wasting and abusing their hard-earned money, are being anything but fair.
If the Obama Administration was concerned about the debt, they would put forth a plan for spending cuts.
There is nothing "fair" about Obama's "fairness". Perhaps instead of going to Hawaii for 20 days, at a cost of $4 million taxpayer dollars; the newly re-elected president can put those funds into the deficit.
But then again, why should he bother? He won't be challenged.
Regarding his "commitment" to reform Medicare and Social Security, which he called "unsustainable" in 2009, Obama stated,
"What we have done is kicked this can down the road. We are now at the end of the road and are not in a position to kick it any further. We have to signal seriousness in this by making sure some of the hard decisions are made under my watch, not someone else's. ... You have to have a president who is willing to spend some political capital on this. And I intend to spend some." - Barack Obama, Jan. 15, 2009
Image Source: Michael S. Wirtz, AP via USAToday