What will be one of the results of the election of Barack Obama as POTUS in conjunction with a Democratically controlled Congress?
Crushing tax increases on an already fragile economy:
To the casual reader of the primary and caucus results of this past weekend, Obama is just creaming Hillary. This race won’t be over until the returns are in from Texas and Ohio next month and Pennsylvania in April. After that, the super-delegates will have to make up their minds. But right now, Hillary is just getting whooped. That’s the long and short of it. (Plus, she just fired her campaign manager.)
This is disturbing news on the taxation front. The Wall Street Journal’s Steve Moore says Obama’s tax plan would add up to a 39.6 percent personal income tax, a 52.2 percent combined income and payroll tax, a 28 percent capital-gains tax, a 39.6 percent dividends tax, and a 55 percent estate tax. In other words, Sen. Obama is a very-high-tax candidate. Whether Wall Street has fully discounted this, I have no idea. Probably not yet. But somebody in the investor class ought to be thinking about it, because it’s not good.
Interestingly, at least two of Obama’s top economic advisors – Austan Goolsbee and Jeffrey Liebman – are highly regarded free-market economists. Goolsbee from Chicago, Liebman from Harvard. But somehow their candidate has a very punitive high-tax campaign plan for the economy. I don’t know all the details on Hillary’s tax plan, but I don’t think she is yet in favor of lifting the payroll tax cap, as Obama is. And I think she’d keep cap gains at 20 percent. But none of this is any good.
Casting aside his campaign rhetoric and looking strictly at his voting record in the U.S. Senate, the Illinois Legislature, and the proposals in his presidential platform-will Obama the most liberal Democratic nominee since George McGovern?
In all seriousness, how far back would we have to go to find a Democratic ticket further to the left of Obama/Edwards if Breck Girl is able to negotiate the Veep slot?
February 11th, 2008 at 5:59 pm
Sobering.
February 11th, 2008 at 6:01 pm
Obama’s a paper tiger, people. Wake up. We want to face him if we want to win.
Obama is not what he says he is. McCain is what Obama pretends to be.
Think!
February 11th, 2008 at 6:06 pm
Obama opposed the Born Alive Infant Protection Act in the IL State Senate. Thats enough even for a pro-chouicer to have concerns with Obama.Apparently his idea of human rights doesn’t apply to fully born and developed babies.
February 11th, 2008 at 6:10 pm
In my best Yoda voice:
“Yessss. To TLG you listen!”
February 11th, 2008 at 6:11 pm
TLG,
Do you think there is anything to the fact that Obama wins caucuses in predominantly white states but has yet to win a primary outside of CT? This is something I have been thinking a lot about lately and I can’t come up with any reasons for this outside of bad ones that no one wants to talk about.
February 11th, 2008 at 6:16 pm
Steve Moore would trash his own mother if she did not propose a tax cut.
To suggest Obama would choose Edwards belies any evidence that intelligent life exists here. I give Obama far more credit than that and I think he cancelled his meeting with Edwards precisely because he did not want to be seen as in any way kissing up to Edwards.
I watch Kudlow quite a bit and everytime he has Goolsbee on I am impressed. He talks of tax cuts for the middle class. As far as taxes on upper incomes, that is baked into the cake no matter if even McCain wins because the dem congress is not going to extend the Bush tax cuts.
February 11th, 2008 at 6:17 pm
#5 All states are predominantly white except California.
February 11th, 2008 at 6:18 pm
Do you think there is anything to the fact that Obama wins caucuses in predominantly white states but has yet to win a primary outside of CT? This is something I have been thinking a lot about lately and I can’t come up with any reasons for this outside of bad ones that no one wants to talk about.
Yes. It’s elitist white people wanting to prove to other elitist white people that they just love black people and they so want to be a part of history.
February 11th, 2008 at 6:35 pm
Does anyone realize that regardless of whether or not Obama wins, this country’s economy is going to collapse no later than 2040? At historical rates of spending, by that point we will have only enough money to pay for Social Security and Medicare and nothing else. Not a penny for anything else.
Unless we make Ron Paul-sized cuts in federal spending IMMEDIATELY, it’s in the tank. This constitutional republic is on the verge of ending.
February 11th, 2008 at 6:43 pm
Axel #7,
I see your point, but that’s semantics and you can see the larger question I am asking (e.g. AL is predominantly white but has a substantial black population).
February 11th, 2008 at 6:46 pm
The funny thing is that Clinton actually leads Obama, when superdelegates committed are added in. I think that’s her last card she’ll play.
February 11th, 2008 at 6:48 pm
Josiah,
Yea, I realize it. It was my candidates first talking point.
February 11th, 2008 at 6:51 pm
Tommy,
If we realize what’s about to happen, then what are we going to do about this? Why aren’t we demanding, on penalty of voting Constitution Party, that John McCain vow to reduce federal spending by at least $100 billion as President?
February 11th, 2008 at 7:03 pm
Josiah,
That’s why I haven’t jumped on any bandwagon, and am waiting to see what is proposed. That’s one pledge that has to made.
February 11th, 2008 at 7:09 pm
Tommy,
I believe Dr. Paul has pledged as much.
February 11th, 2008 at 7:23 pm
Goolsbee is about to appear on Kudlow CNBC.
February 11th, 2008 at 7:35 pm
2040? It’s collapsing now. Or did you did not notice that our banking system and financial services sector nearly collapsed but for a massive infusion of capital from the so-called “sovereign wealth funds” a few weeks ago?
February 11th, 2008 at 7:45 pm
TLG, the sad fact is that McCain is not the guy to beat Obama. We only need to look back at McCain’s debate performance. Then we also need to look at how he has come back, that is, who has been carrying his image to the public (MSM if you have not figured it out). MSM will desert McCain, once his nomination is secured. He simply is nothing without his beloved MSM. And then, we saw how McCain performed last Saturday. He could not attract voters (a total of 19,000, mostly Hucksters, in KS vs 750,000 in a weak year, 2004), leave alone how he will excite the party base (not much). Sorry, but McCain is not the man who can stand against Obama. I would say the general election will be Obama’s at 60% to McCain’s 35%.
February 11th, 2008 at 7:50 pm
quality ingredients, yes, our economy system is unsustainable only because of the federal debt AND the negative saving rates of the Americans. In other words, Americans do not have any saving to tap into, nor do the Federal Government. By the way, the sub-prime market trouble actually was caused by the Federal Government with their guarantee programs which encourage the mortgage lenders to loan to very high risk home owners.
February 11th, 2008 at 9:51 pm
Kavon,
You just pretty much hit on the Republicans theme for November: Barack Obama is George McGovern, minus the experience.
February 12th, 2008 at 9:45 am
The republicans deserve to lose. They nominated John McCain.