By Alden L. Benton
In an article posted Monday, September 19, Keith Hennessey (KeithHenessey.com) exposes the president’s lies about his new deficit reduction proposal.
In a chart featuring data gleaned from an Office of Management and Budget (OMB) report, Hennessey shows that Obama’s lofty plan features a net spending decrease of $86 billion and will increase taxes by $1.3 trillion over 10 years. The net effect on the deficit is a $1.4 trillion reduction.
Of course, the president is clueless to the historical fact that increasing taxes both reduces revenue and stifles economic productivity even further. Such is life in the Keynesian fantasy land inhabited by the president and his lackeys. Remember, he and the vice president think we can spend our way out of recession.
The president’s plan sounds good on the surface, until one looks closer.
The president’s plan does not address the costs of Social Security, Medicare, Medicaid, or his so-called jobs bill. Additionally, the reduction is a mere $140 billion a year. This level of reduction can be accomplished through waste and fraud control in any one of myriad federal departments, agencies, or czars.
The president says his plan will make everyone pay their fair share. To this end, he has proposed tax increases that, according to Hennessey, will affect 99 per cent of the population. Not a bad way to share the wealth when nearly half of the population currently pays no taxes at all.
The bottom line of the president’s “plan” is to tease and deceive with minor spending cuts and then when we’re not looking, shove the knife in our back with a massive tax increase to reduce the federal deficit.
That’s the Chicago way.
©2011 A.L. Benton/Independence Creek Enterprises