American Elephants


Let Me Be Perfectly Clear! Here’s the Way Things Work. by The Elephant's Child
April 25, 2011, 9:21 pm
Filed under: Capitalism, Economy, Freedom, History, Taxes | Tags: , ,

When people start talking about billions and trillions, many people just don’t want to hear.  They don’t understand the numbers, and they don’t want to be scared by something they don’t understand — big numbers.

The Big Budget Battle boils down to something very simple. Republicans blame the deficit and the national debt on spending.  The government has done too much of it.  The Democrats blame the deficit and the national debt on a lack of revenue. They just haven’t taxed enough — and they think the whole thing was caused by the Bush tax cuts anyway. James Capretta explains:

To Democrats, the solution to our budget problem has two components. First, massive and steady tax hikes, not just over the next few years but every year for the next quarter century to match the explosion in entitlement costs. Second, they want stiff government cost controls on the entire health sector, not just on public insurance programs.

For years, the only thing that stood in the way of Democrats’ securing these changes were unenlightened and intransigent Republicans. But when Democrats secured once-in-a-generation majorities in the 111th Congress, Republicans were no longer in a position to stand in their way. So Democrats took the opportunity not only to pass Obamacare — the largest entitlement expansion in two generations — but also to try to reshape the long-term budget picture according to their big-government vision.

The CBO  has said the total tax increase over the next 10 years will exceed $800 billion.  But Democrats were looking for a perpetual cash machine that would go beyond just a near term tax hike. They’ve returned to bracket creep. The tax hikes associated with ObamaCare — .0.9 % on wages and 3.8% on non.wage income — were sold as hitting only those with incomes over $200,000 and $250,000, but without indexing for inflation, more and more people will find themselves paying much higher taxes for Medicare. All you nice middle class folks may find yourselves classified as “rich ” before you know it.

The second part is giving the government a mandate to enforce limits on all spending for health care. Raising taxes and rationing care. But why are Democrats so desperately opposed to cutting spending?

Democrats’ success at the polls has always depended on giving things to people. Welfare, benefits, government health care, housing, tax credits, Pell grants,  extended unemployment, school lunches, school breakfasts, the list goes on and on.Many of the ‘gifts’ don’t work out so well, but their intentions were good.  Democrats believe that a good intention earnestly expressed is a policy.

Republicans success at the polls depends on principles. They ask you to believe in things like liberty, the free market, individual rights, competition, private property, low taxes,  the Constitution, responsibility and American exceptionalism. They don’t promise to give you much of anything except opportunity and freedom to follow your dreams.

Democrats ask Americans to become ever more dependent.  Republicans ask Americans to stand up to be counted.


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