Consider this post an open call for any and all members of Congress to vote NO on Obama’s proposed economic stimulus package. It doesn’t surprise me that Democrats are trying to spend billions of dollars, using the panic and fear over the economy as their motivation. It doesn’t surprise me that Obama is already breaking a campaign promise of not spending money if it’s not absolutely necessary. I knew that one was bull. What does surprise me is the willingness of Senate republicans to fall in line and help push this monstrosity through Congress.
Mitch McConnell is a coward. Can someone please find a conservative with a backbone to run against this guy the next time he is up for re-election!
So the Dems removed the millions earmarked for contraception. Great. They only did that because they got caught earmarking. But what about the money earmarked for community organizers? What about the $355 million earmarked for STD education? What about the half-billion earmarked to study the effects of climate change? Didn’t Obama promise no earmarks? The problem is that this is a “stimulus” package, which means that it is meant as an emergency measure to stimulate the economy. Obama says that two-thirds of it will be spent in 2 years. The other will be spent after. Simple fact: In order to qualify as stimulus it should ALL be spent within at least two years or else it’s not stimulus. So what Obama is pushing on the American taxpayer isn’t really stimulus, but more like an additional expenditure on top of our already overgrown federal budget – if the word “budget” can even be accurately used to describe what the people in Washington are doing.
The latest price tag, including interest, is $1.2 trillion. And not one single member of Congress can guarantee that this bill will create one single job. Yet, Mitch McConnell has yet to raise the slightest whimper of protest. This guy needs a bus ticket home…right now.
The central expense in the bill is a tax credit, or rather a government check, for the low income crowd. These are the people who don’t actually pay taxes but they will get a “refund”. $500 for individuals, $1000 for couples. He calls it a tax cut but that’s bull. You can’t cut someone’s taxes if they don’t pay taxes to begin with. Call it what it is…WELFARE!
Rebate checks were tried last summer and it did absolutely nothing to stimulate the economy. So Obama decides, “let’s do it again”. Then he wants to “create” jobs by building bridges and repairing roads and building windmills, or whatever. But still no one can guarantee any actual jobs will be created. So where is the money going?
Obama once said that we need another New Deal to get the economy back on track. The problem is that the New Deal didn’t work. FDR just spent a lot of money and the economy continued to sag. Why should we use that model for our current economic situation?
The only way to actually stimulate the economy is to cut taxes. How do we know this? Because it’s worked before. Reagan did it in the early 80s. Bush did it earlier this decade, and both times it worked. Cutting taxes leads to more private sector growth, which leads to more jobs, which leads to more private sector spending. If people have a job they have money to spend, they can maybe even buy a house. Private sector growth means HIGHER government tax receipts. Yes, cutting taxes actually leads to more government revenue. This is fact. And – for the record - $500 isn’t gonna do the trick. You don’t stimulate the economy without private sector growth and you don’t get private sector growth with high taxes and government spending. And you sure as hell won’t get it by giving the poorest Americans $500 because the poorest Americans can’t create any jobs with $500, hence the reason why Congress can’t guarantee job creation with this bill. It will be spent on basics and, like the rebates this summer, will be a mere blip on the screen of this recession.
Government spending doesn’t create economic prosperity. It has never happened before. Not once. NEVER! The government is ineffective at job creation. Big government means dependence on the government, and that only generates stasis. You don’t get economic growth with a static private sector. The private sector must be dynamic, it must spend and invest in order to grow the economy. This is as simple as it gets. Economics 101.
So unless a “stimulus” package involves drastic tax cuts it will not stimulate anything except more debt, bigger deficits, higher inflation. None of these things are good for the economy. Obama is about to make a big mistake. And we the taxpayer will eventually pay the price for it.