jjoyce wrote:I'm not drinking this particular flavor of kool-aid. Every tax cut or hike is "temporary."
Bingo. The Bush tax cuts were once temporary, now they are permanent for all but 0.7% of the population. Yet the payroll taxes were not similarly treated, and there was hardly a whimper of resistance.
Why? Because the upper middle class have the most political power of any constituency in Washington. The lower half of the middle class suck the hind teat.
The payroll tax is the most regressive and offensive tax we have anywhere, local, state or federal, in my opinion. You people who are cheering the rise in the payroll tax to preserve social security have bought-into a false choice argument. Why do you surrender the obvious fix of raising the cap?
Ahhhh, but the payroll tax is far from the worst part of the deal that Obama has struck. Obama has traded the cow for a bag of magic beans. Everything Obama got out of this deal is short term. The Republicans get every long term advantage.
Obama's speech today about how he is not going to stand for any more obstructionism by Republicans in future debt ceiling confrontations was farcical. Obama just gave away all Democratic leverage, and now he expects the Republicans to respond in kind out of the goodness of their hearts?
My brother is a republican, fiscal conservative, and he is depressed by today's deal for reasons that might surprise you: it will be impossible for many years to raise taxes. Any and all debt reduction will have to come from spending cuts alone.
The Tea Party Republicans in the House have been empowered long-term by this bargain. Pragmatic fiscal conservatives know this is bad news for country, the end result will be gridlock and little progress on debt problem. Liberals of all stripes will be most unhappy of all, because government programs are likely to shrink modestly, and lower income people will pay the greatest price.
If Obama was going to surrender the Dem leverage on the Bush tax cuts and the sequester, he should have at least gotten a formal commitment to end the debt ceiling stickups in exchange.