Christina Romer, chairman of President Obama’s Council of Economic Advisers had this to say about deficit reduction:
But the chairman of the president’s Council of Economic Advisers admitted that health reform and a growing economy isn’t enough to bring down the deficit. She did mention one other place that revenue could come from: letting the Bush tax cuts expire.
James Pethokoukis at the Reuters Blog says that Since Obama already wants to get rid of the income and capital gains tax cuts for wealthier Americans that expire at the end of 2010, clearly what Romer is referring to is the rest of the 2001 and 2003 Bush tax cuts. Letting all the 2001 cuts — rate reductions, child tax credit marriage penalty relief — expire would raise tax revenues by $2.5 trillion through 2019. (more)
And the whole "tax the rich" scheme is nothing but a bunch of fertilizer. If you think you won't be affected by a tax on the "wealthiest of Americans" you've got a rude awakening coming. Its really quite simple: 80% of Americans work for those considered "rich". Many of these are the "mom and pop" shops that employ 100's of people and larger companies that employ 1,000s.
A tax on the rich will impact small and big alike and and business will respond by raising prices and/or cutting jobs or not expanding/hiring. The greatest impact will be on "small" business.
70% of jobs in this country are created by small business.
It ain't rocket surgery or brain science folks...