Bush tax cuts just 37 percent of the total deal

From msnbc.com's Tom Curry: Despite being billed as a great debate over the Bush tax cuts, the struggle between President Barack Obama and congressional Republicans appears to have ended with an extension of the 2001 and 2003 tax cuts representing only about 37 percent of the total cost of the agreement Obama announced Monday night.

In August, the nonpartisan Congressional Budget Office estimated that that a two-year extension of the Bush tax cuts for 2011 and 2012 would amount to $336 billion. The New York Times estimates the cost of the entire package under consideration at $900 billion.

In its fact sheet on the tax cut framework, the White House provides some numbers on specific provisions:

  • A $120 billion Social Security payroll tax cut in 2011, with the rate being cut from 6.2 percent of earned income to 4.2 percent. For a worker making $60,000 a year, this would result in an additional $1,200 in take-home pay.
  • $56 billion in additional unemployment insurance benefits for 13 months.
  • $40 billion in tax cuts for families and students, including a two-year extension of the American Opportunity tax credit which helps families
    pay college tuitions, which was part of last year's stimulus.

The White House fact sheet did not detail the cost of a two-year accord on estate tax (taxing inherited wealth above $5 million at 35 percent).
But House Speaker Nancy Pelosi pegged the cost of that provision as $25 billion in her statement expressing opposition to the Republican parts of the agreement. The estate tax deal would "add insult to injury," Pelosi complained.

The accord which Obama unveiled Monday night must now be transformed into legislative language. It's far from certain what the final package will include and how many Democrats will vote for it.

But what Obama announced Monday turned out to be a blend of Bush tax cuts and Obama tax cuts.

It includes the $120 billion cut in the Social Security payroll tax, but Obama had to jettison the Making Work Pay tax credit for individuals earning less than $75,000 and married couples earning less than $150,000. That credit was part of last year's stimulus bill.

Sen. Orrin Hatch, R-Utah had complained Sunday on CNN that the Make Work Pay tax credit in effect exempted too many middle-income Americans from having to pay income taxes.

One independent Democrat who had said weeks ago that he supported extending all the 2001 and 2003 tax rates temporarily was Sen. Joe Lieberman of Connecticut. On Tuesday in interviews on MSNBC and Fox, Lieberman voiced optimism that the accord Obama announced would be enacted.

"It's a very good agreement, good for our economy and good that finally Republicans and Democrats are agreeing on something," Lieberman said. "I know there's going to be some Democratic opposition to it but I think we've got a real opportunity to get that through quickly."

The renewal of the 2001-2003 tax rates does fulfill the fears expressed by Democrats such as Sen. Jay Rockefeller of West Virginia in 2001 that the lower tax rates would get extended. Rockefeller said on the Senate floor right before the Senate voted to enact the 2001 tax law that it was "ludicrous" to think Congress would impose a huge tax increase "in 2010 when this tax cut proposal expires."

But Democrats such as Senate Finance Committee chairman Max Baucus and others voted for it, with Sen. Diane Feinstein, D-Calif., arguing "the government taxes when it must, and decreases taxes when it can."

The difference between then and now is that by the time senators voted in 2001 the federal government had run four years of budget surpluses, topping out at 2.4 percent of GDP in 2000. In the fiscal year which just ended the deficit amounted to nearly 9 percent of GDP and in FY 2009 it was 10 percent.

Shunted aside for the moment in the flurry of debate over tax cuts were the deficit-cutting recommendations of the president's fiscal commission announced only five days ago.

The commission headed by Erskine Bowles and Alan Simpson called for spending cuts and for raising more revenues through a cleaner tax code and a broader tax base.

"Even after the economy recovers, federal spending is projected to increase faster than revenues, so the government will have to continue borrowing money to spend," the commission noted, warning that the United States might soon face a debt crisis like Greece is undergoing.

The CBO has warned that by 2016 –the end of Obama's second term, if he's re-elected – interest payments on the national debt will exceed defense spending.

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The CBO has warned that by 2016 –the end of Obama's second term, if he's re-elected – interest payments on the national debt will exceed defense spending.

It'll be interesting to see how the righties spin this.

  • 19 votes
#1 - Tue Dec 7, 2010 2:10 PM EST

GADS! I almost choked on my own spit! Obama's second term??? Heaven forbid!

So you're saying if he had just let the tax cut expire- it would have solved all the problems?

Why didn't he think of that BEFORE he agreed to this!?

Oh that's right- because it would help only 1/10th of 1% of the debt! and possibly put MORE people out of work- which makes for more unemployment- which (do the math here) means- more debt- which just wiped out the tax increase.

  • 22 votes
#1.1 - Tue Dec 7, 2010 8:58 PM EST
duggjrDeleted

How bout you stop passing tax cuts that slash our governments revenue and then not doing @!$%# about cutting spending. Tax and spend is better than cut and maintain the same spending levels as before.

Slogans is the whole Republican party, has nothing to do with governance. The only reason I might vote for Obama now is because the Republicans has the tendency to elect people to the WH who have no @!$%#ing business running this country.

  • 33 votes
#1.3 - Tue Dec 7, 2010 9:07 PM EST

Obama is still quite popular in many circles. Hell, Dubya got a second term, certainly Obama can.

  • 19 votes
#1.4 - Tue Dec 7, 2010 9:09 PM EST

ANY OF YOU FOLKS EVER HEAR OF THE DEFICIT??????

Until someone tells us how the lost revenue from the so-called Bush tax cuts and other tax breaks in this plan are to be replaced, or which expenditures will be cut so as to balance the lost revenue, this plan should be defeated.

TAX CUTS THAT ARE UN-BUDGETED ARE A FORM OF DEFICIT SPENDING! Perpetrated by BOTH parties (for those who like to single out the Democrats with no factual basis).

There is absolutely NO MENTION in the plan of the HUGE deficit hole that is created through this revenue scheme. That is irresponsible. Allen Greenspan recently stated that the United States must move to rein in its massive budget deficits or face the risk of a bond market crisis, a situation currently playing out on a smaller scale in Greece and Ireland. Speaking on Meet the Press on November 14, 2010, Greenspan stated, "The big, serious problem is whether or not the outlook for the longer-term deficit spooks the bond market to a point where long-term interest and mortgage rates move up very sharply."

If we are truly concerned about the deficit and national debt, and the business-ruining rise in interest rates that will come shortly, as well as passing on this crushing burden to our children and grandchildren, then we must face the hard fact that we as a Nation simply cannot afford ANY tax cuts at this time.

We have all benefited for many years now from the deficit spending we have told our government that we wanted. The time has come to start paying the bill for the benefits we have received, and not pass them on to future generations.

DEFICITS ARE BAD FOR BUSINESS, BAD FOR THE COUNTRY, AND BAD FOR OUR CHILDREN'S FUTURE!

The time to start acting responsibly is NOW.

  • 6 votes
#1.5 - Tue Dec 7, 2010 9:10 PM EST
duggjrDeleted

The republicans have to find a candidate before they can beat him. I don't think many people thought Bush would get re-elected but he did, thanks to John Kerry. If Sarah Palin gets the nod from the right, Obama will win easily.

  • 11 votes
#1.7 - Tue Dec 7, 2010 9:12 PM EST

Dems need to stop the spending frenzy? What have you been smoking? This mess was the result of the Bush spend and cut taxes for the wealthy. The reality of this issue is really simple: If Obama hoped to help the middle class he had no choice. The clueless republican middle class who elected people like Bachman, Bohener, Barton, et al have put our country in this mess. These representatives have long ago made the decision to sacrifice the middle class for the "good" of the wealthy. In this compromise the middle class continued to get tax credits for tuition, child care and payroll taxes. Wealthy people don't need them, middle class Americans do. Face the reality. Your republican friends could care less about the deficit, the unemployment or the uninsured. Cold and cruel reality for a country that sends billions to foreign countries in need, the republicans are quite willing to oppose health care for the poor and aid to the unemployed (those they believe are not looking for jobs because of the huge amounts of their weekly checks). The sickening part of all of these people are that they call themselves "Christians". I think Jesus would have another name for them.

  • 31 votes
#1.8 - Tue Dec 7, 2010 9:12 PM EST

No need to spin anything. BO won't be there in 2016. It' won't solely be who the Republicans run. It'll be votes against BO. No, he's not that popular at all. His approval rating is not that good and his own party is going against him.

  • 5 votes
#1.9 - Tue Dec 7, 2010 9:12 PM EST

What? Obama can't get a 2nd term? I bet he can. Just put Sarah Palin on the GOP ticket. Then I'll vote Obama.

  • 21 votes
#1.10 - Tue Dec 7, 2010 9:13 PM EST

For one thing, the government prints the money that is in our paychecks, and a fiscally responsible government is a boon to the economy and better prepared than one saddled with debt.

America afforded us all great lives, the least we can do is contribute back to the same country we love.

  • 5 votes
#1.11 - Tue Dec 7, 2010 9:16 PM EST
duggjrDeleted
whatzzit2uDeleted

"how the righties spin this"? The 1.4 trillion deficit gap is because of spending, not the tiny 70B per year portion of the tax cuts that go to the wealthy.

Slash all programs, including defense by 35%. Unemployment benefits should be a 16 week maximum program, it's not a welfare entity, it's a stopgap when you lose your job.

Cut off unemployment for the 99 weekers, as if it's even under consideration to extend it for another 50 weeks.

This is Obama's deficit and balooning debt, the only way out is a massive, across the board cut in all govt programs. Which should be passed immediately, if we had anyone with balls.

By the way, you don't save 70B if you raise taxes on the rich. You save 70B minus any economic growth that 70B in the hands of small business owners, rich people spending money at fancy stores or restaurants that pay high wages to their employees, or rich people investing in the economy, would have generated.

  • 4 votes
#1.14 - Tue Dec 7, 2010 9:21 PM EST

Yea well Reagan and George W Bush both raised spending levels by the government after cutting the taxes. Starve the Beast fiscal policy is a complete disaster and actually encourages more spending and leaves a mountain of debt behind.

Fine dont vote democrats in, but definitly do not vote the R's because their track record is cut and spend even more.

  • 8 votes
#1.15 - Tue Dec 7, 2010 9:21 PM EST

Did anyone really think B.O. would pass up an opportunity to spend?

Look over here, I'm fighting to keep your tax-cut....ignore my other hand in your wallet and my accomplice with your children's piggy banks.

  • 6 votes
#1.16 - Tue Dec 7, 2010 9:32 PM EST

gee Chesty. You should let Obama know how you got that $700 billion tax break down to $70 billion. Maybe you should work for the government.

  • 3 votes
#1.17 - Tue Dec 7, 2010 9:34 PM EST

I love it when folks like Chesty pull "facts" out of their *ss sideways!

What I would really like to know, Chesty, is after you throw all those deadbeat unemployment collectors off the unemployment rolls, where are they supposed to get jobs? Your foolish statement assumes there are jobs there for the taking, but for these deadbeats (all Progressives, for sure) just kicking back riding along on your back. What a crock!

And then, when the money these folks get in the form of unemployment checks, and use to buy such luxuries as food, gas, diapers, etc., suddenly is removed from the economy, what are you going to do about all of the food, gas, and diaper sellers who sales suddenly go down? And then they have to lay off a percentage of their employees...

The point is the ENTIRE ECONOMY IS INTERCONNECTED. Venting your ignorance on this blog doesn't change that.

THINK!

  • 5 votes
#1.18 - Tue Dec 7, 2010 9:35 PM EST

That wld be amazing and probably untrue..but it will be close. Interest on DEBT this fiscal yr is 10% of budget. Defense cost is 24%. Interest rates are really low on treasury paper so new DEBT is paying very low interest. Maybe they are calculating that DEFENSE spending will drop a lot becuase we can no longer afford it? DEBT rt now is about $13 Trillion up from just under $11 Trillion when Prez Bush left office.

    #1.19 - Tue Dec 7, 2010 9:57 PM EST

    This plan isn't to bad a compromise except for the cutting of 2% payroll tax for SS. We have already borrowed to much from the retirement system and they are wondering when it will run out now. The 2% you save now might be the death of the program when you retire and there is noting there.

    Obama needs to end the war and overseas spending and bring that money back home. Afghans just announced that they don't want us there anyway.

    • 2 votes
    #1.20 - Tue Dec 7, 2010 10:05 PM EST

    nresq, read the last sentence of your post.

    • 2 votes
    #1.21 - Tue Dec 7, 2010 10:06 PM EST

    These tax cuts are not the problem. It is not lost revenue. It is lost tax increases that the government is trying to impose because they have spent money like it was going out of style since the Dems took over. We were already in bad shape and they took a bad situation and made it almost hopeless. If you are telling me that we should take money out of working peoples pockets to pay for their greed then you are idiotic. Sorry but there is no other word for it. We were in financial crisis and they would not listen to reason when they had the house and senate. They did what they wanted because they had the votes. Even if it was a bad idea they would pass it because it was what THEY wanted not what America wanted or what was good for America. |They want to cut spending how about we start taking it from their outrages compensation and retirement plans. They have plans that 99% of Americans could never aspire to in their lives. Mind you this is only for working less than a part time person for the year (and getting nothing done), and doing it for only a couple of years. You never hear them talk about cutting that budget. You also never hear about cutting the huge budget that we have for giving money away. I understand what diplomacy is but we are giving away absorbent amounts of money to countries when that money is needed right here just as urgently. We need to downsize our government and stop this gorge and purge system that we have going on. It's not healthy.

    • 2 votes
    #1.22 - Tue Dec 7, 2010 10:07 PM EST

    Whether you voted Republican or Democrat is not the issue here. The issue is DC is full of Politicians who want to please their respective constituents rather than lead this country. DC's moto should be please everyone until we have nothing left. Should the people who already pay 70 to 80 percent of all the income taxes collected from individuals pay a greater share, NO! Should people who have been unemployed continue to receive benefits after 99 weeks, NO! However, if you are not going to increase taxes and send more money out in the form of unemployment benefits there should be a corresponding reduction in spending somewhere. Maybe by reducing the pay and benefits of the House of Representatives/Senators or the huge Group of Union employees we all pay working for the federal government. This is idiotic government. Here is an idea, freeze all federal budgets for the next two years, raise the taxes and the additional tax revenue will only be utilized to pay down federal debt. I am sorry for the folks that think the government should continue to assist them after close to 2 years on unemployment, but necessity breeds creativity.

    • 2 votes
    #1.23 - Tue Dec 7, 2010 10:08 PM EST

    Obama's policies have clearly failed. Why do I see old people still walking around? I thought the eugentics project death camps were going to take of them? and why did my 80 year old Grandmother get healthcare, wasn't that supposed to be cut and wasn't she supposed to be carted off to one of Obama's secret death camps? His socialist hippie policies have also failed, or I wouldn't be seeing all these affleunt rich folks still driving their beemers and benzos. When is he going to level the playing field and take all the money from the rich and spend it on Africa? What happened to Obama's secret Muslim consipracy to topple the US? You guessed it, also a failure. When I am going to see Sharia Law implemented and why wasn't my X-wife stonned to death yet?

    Since he is doing such a great job failing, maybe I will vote for a second term!

    • 5 votes
    #1.24 - Tue Dec 7, 2010 10:09 PM EST

    Some of you rightists fail to have looked at history and the latent affect of your prized presidents. Ronald Reagan ran up the national debt to a point that was only surpassed by the debt of WWII. That debt was being paid down even during the Vietnam War. After he left office it began to go down slowly until "Not so squeaky clean Bill" had it to the point we were paying it off. Then the second Bush who's own mother though the job was beyond him. The debtwent up and now all you people are blaming it on a guy who is trying to fix it. I side with Pelosi. Let the tax cuts expire. It's time to pay the piper. I'd be glad to pay more. And then there are all the Conservative Christians who ignore much will be require of the rich, and do onto others as you would have it done to you and then the rich young ruler who was told to sell his belongings and give them to the poor and follow Christ. I'm glad my Christianity doesn't include the attitudes of some.

    • 5 votes
    #1.25 - Tue Dec 7, 2010 10:10 PM EST

    Uh-oh, looks like another "compromise"....


    Obama announces deal to extend tax cuts for the rich

    By Barry Grey
    7 December 2010

    President Obama on Monday announced his support for a two-year extension of Bush-era tax cuts for the rich, capitulating to Republican demands and reversing campaign pledges to end the windfall for families making more than $250,000 a year.

    The announcement was made in a brief White House speech, after which Obama took no questions from the press. Extension of the tax cuts for the wealthy, set to expire January 1, has been a central preoccupation of the US corporate-financial elite. For precisely that reason, the cave-in by Obama and the Democratic Party on the issue was virtually assured. The extension will funnel an estimated $70 billion per year into the coffers of the rich.

    During the mid-term election campaign Obama demagogically denounced the Republicans for opposing his proposal to extend the Bush tax cuts only for families earning less than $250,000. The Republicans demanded instead an across-the-board extension. Obama sought to use the issue to give the Democratic campaign a populist cover, even as the White House and the Democratic-controlled Congress refused to initiate any government jobs programs or provide serious relief to the tens of millions victimized by the deepest recession since the 1930s.

    Meanwhile, the Democratic congressional leadership was signaling its readiness to capitulate, with leading Democrats in the House and Senate lining up with the Republicans to demand an extension of the tax cuts for the rich. Senate Majority Leader Harry Reid called off a floor vote on the tax issue until after the November election.

    Following the rout of the Democrats in the election, the result of popular disillusionment and anger over the right-wing policies of the administration, Obama has lurched even further to the right. He has embraced the Republican tax plan even though the Democrats retain large majorities in both houses of the outgoing Congress, which must vote on the measure before the end of the year. The new Congress, with a Republican majority in the House and a smaller Democratic majority in the Senate, will take office in January...

    ....Demonstrating his cynicism and contempt for the intelligence of the American people, Obama actually sought to portray this huge boondoggle for the rich as a defense of working people. He focused on the 13-month extension of long-term unemployment benefits included in the “framework,” which he presented as a major victory for the unemployed.

    In previous recessions, extended jobless benefits were routinely passed by Congress, but in this slump Congress has allowed them to expire on several occasions. House Democrats failed to pass a measure to extend benefits for the long-term unemployed on November 30, ensuring that the program would lapse on December 1. This was calculated to provide a cover for the coming capitulation on tax cuts for the rich, with the windfall for the wealthy packaged as a quid pro quo for extending jobless benefits....

    ....The various so-called middle-class tax credits have done virtually nothing to create jobs or cushion the impact of the slump on the working class, and will have no greater impact in the future. But the tax cuts for the wealthy will ensure a further concentration of wealth at the top of society, even as growing numbers of workers are driven into poverty as a result of mass unemployment, wage-cutting and reductions in social programs.

    http://www.wsws.org/articles/2010/dec2010/obam-d07.shtml

    • 2 votes
    #1.26 - Tue Dec 7, 2010 10:21 PM EST

    Guess what Chesty?

    You do save large amounts of money when you tax the wealthy. These people already have big bank accounts with plenty to spare. You think that just because they get a tax-cut that they will spend more money?

    In all reality they will just save that money. The reason that they are called "wealthy" is because they have plenty of surplus. You don't call someone who lives paycheck to paycheck putting all of his available $$ into the economy as wealthy.

    Wealthy tax cuts = less $$ in the economy. Besides even if they got tax cuts, why would they invest in the economy. Interest rates are almost at 0%. If anything they will invest that money in Brazil where they can get 5-6% on their money invested. That $$ doesn't help our economy.

    nresq is absolutely right! Unemployment benefits are a great boon to the economy. Obviously there are no jobs right now and all of that money is going to go back into the economy. It's not like the gov't hands out more than these people can spend.

    They still barely make their bills with unemployment. Many poor children will not have a Christmas present because all of their parents checks are going to keep the electricity on. Think about that when you are purchasing and opening your all of your expensive gifts this Christmas.

    Ignorance is bliss for those who already have everything!

    • 5 votes
    #1.27 - Tue Dec 7, 2010 10:27 PM EST
    sdfwefweDeleted
    sdfwefweDeleted

    It's hard to end being in denial- but in truth it's the tax and spend Republicans! Please check your statistics: Reagan and BushII raised government spending to record levels (adjusted for inflation, etc) and initiated massive tax cuts at the same time. Clinton brought the deficit under control (until Bush II arrived). Why just the lies created to send US military to Iraq- if undone would have cut the current deficit (post- economic collapse) by one-third. Tax and spend Republicans--- time to see the truth and stop being in repeated denial!

    As the economic divide between the rich and the rest steadily increase in the US, we can't even keep the Make Work Pay tax credit- because as one of our multi-millionaire Senate Rebublicans (Orin Hatch) has just complained, too many (struggling) middle class Americans would not be paying any income tax. Somehow his math is flawed, as our middle-class family does pay well over $800 per year in income taxes- because we are lucky to have held on to our jobs (for now)! Maybe he meant after withholding... shame on him!

    Face it, with an increasing proportion of the wealth of the entire nation being held in an ever growing smaller percentage of the population, the rich must be obliged to pay more taxes to give any chance of reigning in the deficit. Not to mention corporations which you may have noticed have now recovered, in terms of fiscal measurements, from the economic collapse. It's already clear that tax breaks to the wealthiest Americans do not (and have not) trickle (or trickeled) down to us in the middle or below. Get real and check the numbers! No one has talked about the actual numbers (at least recently), were the richest American to pay a higher share than they have been. Why must we cut taxes across the board? But I guess if you already have the power and the wealth why should you bother sharing anyway. And since corporations have now been given the same free speech rights as individuals, they can buy whomever they need for their political favors. We are in trouble indeed.

    Greed and selfishness- it's the American motto-- oh yeah and country be damned!!! What a shame- it was a great nation... once upon a time!

    • 1 vote
    #1.30 - Tue Dec 7, 2010 10:56 PM EST

    Repuplican, Democrat, It makes no differance. they all are clueless on how to control spending.

    This" More for Me" generation is going to bankrupt our country.

    This country is controlled by special interest , and their only concern is how they can benefit from all this easy money flowing out of Washington. I am getting sick of paying for it. Canada is starting to look pretty good. Maybe It's time for me and my family to get out, before Our Government loses everything.

    • 1 vote
    #1.31 - Tue Dec 7, 2010 11:01 PM EST

    So now it's the Obama tax cuts. So now only 37% of the tax deal is Bush's; heaven forbid he did something that Bush enacted, the guy he's blamed for everything. Remember the millions of jobs those Bush tax cuts created? Just 3 million jobs + in his last administration.

    This is an obvious setup by the Dems and the Reps fall for it. The deal is they know the taxes wont work when they are only extended for 2 years. They pulled the same trick on Bush the first time, early on. The intent is to make the tax cuts FAIL so they can raise them later saying TAX CUTS DONT WORK.

    The Dems and Obama have held back on giving much away. If by any chance the cuts work Obama can claim victory in any case. Businesses need a least 5 years knowing the the rates will stay lower to plan. Two years is not enough for businesses.

    The Reps thinks they're getting a good compromise with a 35% death tax. The government mafia takes people's earnings when they die after they have collected taxes on the same money through out. How would you like to be rich and have to give your money to the mafia instead of to your children. Is that fair? It's not only rich individuals but mainly 50% of small businesses that are run as private and taxed as individuals.

    Pity the idiots who think the government will take from the rich to give it to us. They are NOT giving it back. They are spending it themselves. Get it? We'll get the bones.

    Also remember the Dems have had the Congress for 4 years, including 2 years of socialist reforms by Obama, our first socialist president, the same system that has never worked.

    The Dems brought us the banking mess that generated the recession that they blame on Bush.

    And so it goes. Wait until the Obama Care bills hit.

      #1.32 - Tue Dec 7, 2010 11:02 PM EST

      The republicans really need to suck a dick. If I was making a million dollars a year, I would gladly pay back 200-300,000 because I WOULD STILL HAVE A @!$%# TON OF MONEY!!! WHO REALLY NEEDS THAT MUCH MONEY TO SURVIVE?!!

        #1.33 - Tue Dec 7, 2010 11:02 PM EST

        NOW you democrats are complaining about the deficit? NOW you complain about the interest on the debt? NOW you liberals start yapping about fiscal responsibility?

        GIVE ME A BREAK!

        The only thing these cut will do for me is to offset the increase in my health insurance thanks to Obama. That is only for a year though.

        700 billion here and there was not a problem for you lefties a few months ago, now 70B is the end of the world in your mind. Again, GIVE ME A BREAK!

        Make the current tax levels perminant and THEN deal with the cuts that have to be made on the money coming in. NO NEW SPENDING! REPEAL OBAMACARE! STOP THE MADNESS!

          #1.34 - Tue Dec 7, 2010 11:02 PM EST

          "If we do what we've always done, we will get what we've always got." This compounding of inefficiency and waste must stop. It's time for REVOLUTIONARY change. This is how: www.theefficiencytheory.com

            #1.35 - Tue Dec 7, 2010 11:05 PM EST

            Of course Obama will get a second term. Who on earth are the republicans going to run against him? Sarah Palin? Hah! I'd love to see those debates.

            Americans are smart enough to tell a ignorant, glorified soccer mom from a competent politician.

              #1.36 - Tue Dec 7, 2010 11:12 PM EST

              Obama had to jettison the Making Work Pay tax credit for individuals earning less than $75,000 and married couples earning less than $150,000.

              Congratulations Republicans for taking away this tax credit from the middle class. So much for republicans lowering taxes. These sons of bitches promised in their campaigns to lower our taxes and the first thing they do is force Obama to raise them?! The party of lies.

              • 2 votes
              #1.37 - Tue Dec 7, 2010 11:22 PM EST

              what is so pathetic in this is the cut in fica payments for a year. this is going to DECREASE the ssa payments for every person who gets this reduction now. no big deal you say; 2% will be a very big deal in the future. it will show up as a decrease every time one gets their benefit statements; everytime they may get a cola increase; for every dependent who is on an account; AND THEY WILL NEVER KNOW THEY HAVE BEEN SO BADLY SCREWED IN 2011. if you get this money put it in a ROTH retirement account and buy 5-10 years bonds or mutual funds. your only chance to get something back when you really need it.

                #1.38 - Tue Dec 7, 2010 11:41 PM EST

                I'm just truly dumbfounded that people believe that either party is capable of "fixing" anything.

                Here is a simple exercise and if you are honest with it, it'll be very revealing.

                Take a piece of paper and write down the top ten things that concern you about the country.

                Could be taxes, health care, same sex marriage, abortion, whatever. Doesn't matter.

                Use this list to form a letter that is addressed to all the senators, representatives, and elected officials that might possibly have any power to help you with your concerns.

                Send the letter to them. Heck, if you got some money lying around send that too. Maybe 20 bucks or whatever.

                Then watch as they pat you on the head like the good little constituent you are and watch as they tell you "they'll get right on it"!

                Keep the list. Now keep track of which officials say they are going to support your items on the list.

                Give them 2 years time.

                How many of them are keeping their promises?

                Very simply, the reason why this country is in such poor fiscal shape is that the money has been flowing to the upper crust for some time now. Whether you define it as government or big business(they are virtually the same thing now), the money is coming out of your pocket to support the people who already have a ton of money.

                It's been going on for some time now. There used to be a very strong manufacturing base here in the US that enabled people to make a relatively decent living. When people have a steady stream of income that exceeds their needs...they will spend it. This is good for the economy. Now because some people want to increase their profits even further, they will cut your pay, cut your hours, cut your benefits, and maybe just send your job overseas where they have someone do the same work for 1000th of the pay. And the people on top make sure that it stays that way. On the outside it looks like they are bitter enemies and sworn rivals of each other. But I'm quite sure they are good friends and compatriots. They are the upper crust, and as long as the upper crust has the reins, they will ensure they will always get the best of whatever is happening.

                Voting for democrats or republicans or whoever, is like putting a different painting over the hole in the wall. It might be a painting you really like, but it doesn't change the fact that you have a hole in your wall.

                What really needs to happen is that truly everyday ordinary people from your community who share your concerns and needs get elected to positions of power. Then you need to get rid of all lobbyists and special interest groups. Then you need to establish term limits for every elected person.

                And what is the likelihood of that?

                  #1.39 - Tue Dec 7, 2010 11:48 PM EST

                  Bev,

                  From a rightie, your answer?

                  Increase taxes on everyone. Including the 48% that pay nothing. Reduce Defense spending. Cap entitlement spending. Tariff imports.

                  One good start. What is your plan? Let the tax reductions expire for the upper 2%??

                  You led the discussion. Let's hear your side......

                    #1.40 - Wed Dec 8, 2010 12:06 AM EST

                    Bev in Chicago, no spin necessary, raising rates do not increase revenues. And if there is, spending is 1.16 to 1.3 for every increase. Your proud state (and formerly mine) has as reported by Bloomberg, the worst public pension plan in the US. The state has been borrowing for 6 years to make some of the unfunded requirement. Chicago must be in worse shape than anyone imagined as Mayor Daley is leaving before their tsunami hits. Good luck, we the people of other states do not want to bail you, California etc. out. At least NJ is trying to get their house in order.

                      #1.41 - Wed Dec 8, 2010 5:59 AM EST

                      Tis a Magic Show ... come one, come all ...

                      With the slight of hand you will think all is the same as last year, but wait ... the mortgage interest deduction is gone adding roughly $15,000 +/- $3,000 taxable income dollars to each middle class family in a moderately priced home that is has a mortgage on it. Multiply that by your tax rate from last year, then smudge a tad because you actually went up a tax rate with that increase. It just disappeared and low and behold, the child tax credit that mostly benefits the middle class has disappeared into the nothing less. So that is a direct increase in taxes paid (not owed) for a family with small kids and a good job. at $1000/child, that is an additional increase in taxes of $2000.

                      Those disappeared 2 weeks ago ... poof, with the slight of hand, it is gone. The other cuts are staying ... not that anyone making less than a few cool million will benefit from anything ... their income stays the same. They had been earning so much that they didnt get those deductions any ways.

                      Our elected "leaders" are doing a magic show for us people ... come one, come all ... you will never see the slight of hand while seeing this show ... What have all looks the same, yet they are not ... in this hand, I give you the extention of Bush's cuts: with this hand, lets add much higher taxable income and and with the other, remove child tax credits which increases the actual taxes paid in taxes.

                      Yes indeed ... it is a magic trick ... and you never saw it coming until it kicked you in the butt.

                        #1.42 - Wed Dec 8, 2010 6:07 AM EST
                        Reply

                        What is certain is that the republicans have done nothing to cut the deficit in the last ten years.

                        • 29 votes
                        #2 - Tue Dec 7, 2010 2:15 PM EST

                        And they don't have any intention to cut in the future.

                        • 22 votes
                        #2.1 - Tue Dec 7, 2010 2:26 PM EST

                        Sheeshus! Wake up and smell the BS!!! Neither party is going to do anything to cut the deficit! I don't understand this whole argument "The Republicans have done nothing to reduce the deficit" versus the other side complaining "The Democrats just keep spending like drunken sailors"... They are both taking us down the same stinking hole... sinking us into debt that we are never going to climb out of. Until we force our government to stop borrowing and spending us into oblivion, things will only continue to get worse.

                        • 27 votes
                        #2.2 - Tue Dec 7, 2010 4:23 PM EST

                        Neither have the Democrats

                        • 6 votes
                        #2.3 - Tue Dec 7, 2010 8:52 PM EST

                        they are both leading to the same outcome, just different paths to get there is all.

                        both parties that are even in control, they are used as puppets to hide those really in control.

                        If one looks at it with fresh eyes, you will see that things are created or made to happen in order to fight it or correct a course so it appears as it must be done and we are non the wiser.

                        At least that's what it seems to me anyway.

                          #2.4 - Tue Dec 7, 2010 8:57 PM EST

                          We speak of deficit cutting and spending and such as that......... has anyone ever considered the fact that the govt is doing exactly what its constigency is doing? the govt is having to borrow and spend just to keep things going. i know i am having to spend, borrow, hope i can make it work out mathematically and pray something happens to change. look, lets focus on the real issue here, because i am tired of seeing the govt give money away to foreign interests. lets stop sending money to foreign countries that cant seem to support themselves. im not talking big foreign countries, in trouble because of the economic struggle globally, im talking the ones that have been in trouble over 5-10 years. sam kinison was right, send them boxes, send them uhauls, send them suitcases. "we were gonna send you food, but it occured to us that we wouldnt have to IF YOU LIVED WHERE THE FOOD IS!!!"

                            #2.5 - Tue Dec 7, 2010 9:03 PM EST

                            Gee perhaps that's why the rich corporate interests pay 100's of millions to both parties, to ensure that we keep screwing up no matter who's in power. And when it all falls apart, well those 1% people who caused it all, will just quietly retire and wait for the cycle to begin again.

                            It's far cheaper to buy political influence than to create it. Kind of a lease vs own argument.

                            Voters are like lemmings, except they don't die off as fast.

                            • 5 votes
                            #2.6 - Tue Dec 7, 2010 9:03 PM EST

                            Americans aren't realistic, that's the whole problem. They want to cut spending on areas that don't effect them and of course we don't want to pay any more taxes and the politicians are too scared of not getting re-elected to actually take an unpopular stance. It's a vicious cycle.

                            • 4 votes
                            #2.7 - Tue Dec 7, 2010 9:19 PM EST

                            WHY DOES EVERYONE KEEP BLAMING THE POLITICAL PARTIES????? OR SOMETHING CALLED "THE GOVERNMENT"??????

                            Folks, it US!!!!! WE THE PEOPLE, as everyone likes to describe themselves.

                            Politicians read the tea leaves (polls) and act accordingly. Politicians in BOTH PARTIES refuse to make the necessary spending cuts because WE THE PEOPLE will punish them by voting them out if they do so. So the politicians continue to GIVE US WHAT WE WANT: Programs that WE THE PEOPLE DON'T WANT TO PAY FOR.

                            That's right, folks! We have me the enemy, AND HE IS US! We're the ones who want everything we demand from our federal, state, and local governments, and then WHINE LIKE CRAZY when someone says, "Guess what, we either have to raise taxes or borrow to afford that."

                            Its A LOT EASIER to blame the big, bad government, or politicians (the other side's of course), or Nancy Pelosi, John Boehner, blah, blah, blah.

                            Until WE THE PEOPLE demand that our representatives BALANCE THE BUDGET, and WE THE PEOPLE accept the necessary reduction in government programs and additional taxes necessary to accomplish that, NOTHING'S GOING TO CHANGE.

                            So what are YOU willing to give up...

                            • 8 votes
                            #2.8 - Tue Dec 7, 2010 9:22 PM EST

                            Requiring bills to be funded before passage and banning earmarks is a pretty good start, far better than the reckless explosion of spending incurred in the prior 2 years.

                            • 3 votes
                            #2.9 - Tue Dec 7, 2010 9:37 PM EST

                            Seemss that we have forgotten that Reagan created a huge deficit cutting taxes, and spending us into hell and back, Clinton had a surplus, of sorts, but Dubya was the King of deficit, cut taxes and starting two wars, gave Wall Street and big banks$700 billion with no strings attached, lost 8 to 9 million jobs (by the way weren't tax cuts for the wealthy supposed to create jobs? wonder what went wrong) Obama has had this mess for two years and I ddon't think you can build an economy without a manufacturing base, which Dubya and big corps gave a way for the sake of profit, Now, "we the people" are SCREWED!!!!!!!

                            • 3 votes
                            #2.10 - Tue Dec 7, 2010 9:45 PM EST

                            Sheeshus! Wake up and smell the BS!!! Neither party is going to do anything to cut the deficit! I don't understand this whole argument "The Republicans have done nothing to reduce the deficit" versus the other side complaining "The Democrats just keep spending like drunken sailors"... They are both taking us down the same stinking hole... sinking us into debt that we are never going to climb out of. Until we force our government to stop borrowing and spending us into oblivion, things will only continue to get worse.

                            I agree with this 100%. The sad thing is people keep voting the same fools back in office...both Democrat and Republican alike. The last election was at the very least somewhat hopeful that the people are finally voting toward a political revolution. We'll see what 2012 brings.

                            • 1 vote
                            #2.11 - Tue Dec 7, 2010 9:58 PM EST

                            nresq asked what govt benefits I'd be willing to give up. Well, I'd be willing to give up a lot.... that is, if I actually received much in the way of benefits from the Feds. Oh, it's true that I bought a roll of toilet paper some while back.... and it was probably delivered to the store via roads that had been paid for by govt money. And, let's see, I watched TV a few nights ago.... and that's regulated by the FCC, which get federal dollars. But the truth is that mostly I just pay.... and then pay some more. So, sign me TaxVictim. Regards....

                            • 1 vote
                            #2.12 - Tue Dec 7, 2010 10:03 PM EST

                            Clinton had a surplus because he "borrowed" money from SS, one reason it's in such bad shape now! The dot-com industry crashed 6 months before Bush took office in 99. Then 9/11 broke more of the financial district, then the war....so the world was on a decline economically no matter who was POTUS from 2000-2008. Congress is responsible for the ridiculous Fannie and Freddie debacle, however. I am pretty sick of hearing that Bush caused all the problems and poor Obama has only had 2 yrs to fix the mess....what a ridiculous mantra! The House and Senate are responsible for passing laws. Maybe some of you are just not cognizant of the way the govt works!!!!

                            • 3 votes
                            #2.13 - Tue Dec 7, 2010 10:08 PM EST

                            deb -

                            The money paying for the past 10 yrs. of tax bonus to upper 2% HAS BEEN AND WILL CONTINUED TO BE PAID BY THE US BORROWED FROM CHINA AND OTHER COUNTRIES.......who are profiting from our leaders luxury spending on their own behalf! Don't know how you can miss this info as it has been splashed all over every news media source, worldwide since last weekend.

                            The $450 BILLION that the 2% tax bonus will cost the USA MORE than the TOTAL OF THE ENTIRE STIMULOUS PKG. COST - FACT! This money will also be borrowed from other countries - financially superior to the United States. Never thought I would live to see the USA ranked below so many other countries in financial security - let alone to learn that OTHER countries are paying for and profiting from our debt!!

                            The Repubs, Dems, Indeps AND the wealthy 2% are ALL aware of these facts and still continue to jeopardize our country's stability simply for their own personal gain! It won't stop with just the added debt of the Tax Bonus - but, every other item that comes up for vote will be paid for by borrowed funds until we can afford to pay off our massive debt to other countries.

                            How sick is this???

                            • 2 votes
                            #2.14 - Tue Dec 7, 2010 11:15 PM EST
                            Reply

                            FR: But House Speaker Nancy Pelosi pegged the cost of that provision (Death/Estate tax) as $25 billion in her statement expressing opposition to the Republican parts of the agreement. The estate tax deal would "add insult to injury," Pelosi complained

                            Poor Nancy.

                            As her last act as Speaker, Nancy will have to let her House vote for the Bush tax cuts, the same cuts she's been railing against for 10 years. No one saw that coming a year ago, now did they?

                            Poor, poor, Nancy.

                            • 11 votes
                            Reply#3 - Tue Dec 7, 2010 2:17 PM EST

                            JoAnnaSmith1

                            Did you notice how easy it was for the president to make this deal with out Nancy's help, say what you want about the president, but Joanna you must admit that Nancy in alot of cases made it harder to deal with the republicans, i have voiced my dislike for her many times and this deal is proof that it was not as much the republicans saying No, its was Nancy always saying it must be her way or the highway.
                            in the coming months, i see provisions in the HCR Bill being taken out, and renegotiated with out nancy adding her 3 cents. for me there were several provision in the HCR that i know the president wants out. namely the requirement that if you don't get in, you pay a fine. that is not what i remember the president wanting during the campaign, that option was all Nancy.

                            • 5 votes
                            #3.1 - Tue Dec 7, 2010 2:48 PM EST

                            I DO feel sorry for her. I can't think of many people who possess her strength. She's so hated, but no one can say exactly why. She remains graceful, driven and smart in spite of it all. While I may not agree with everything she does, I can appreciate the pressure of her job.

                            • 9 votes
                            #3.2 - Tue Dec 7, 2010 8:55 PM EST

                            I have been called an opinionated woman...but, I call it like I see it. Nancy wants her way every time...just a spoiled, greedy bitch.

                            • 5 votes
                            #3.3 - Tue Dec 7, 2010 9:04 PM EST
                            duggjrDeleted

                            I am just curious how she came up with the estate/death tax figures. makes one curious, if this whole politically thing doesnt work out, maybe she could become a grim reaper.....

                            • 2 votes
                            #3.5 - Tue Dec 7, 2010 9:10 PM EST

                            I can say exactly why she is disliked. She is completely out of touch with reality. She believes she is intellectually superior to everyone, while anyone with a modicum of intelligence can tell her agenda is a slow death for a great country. I am constantly amazed at what she says and believes.

                            She is the number one reason I moved from the left to the center. A close second is Feinstein. "A government taxes when it must?" Really? Spoken like someone who hasn't earned a cent in their life, but lived off those who earn.

                            • 4 votes
                            #3.6 - Tue Dec 7, 2010 9:14 PM EST
                            whatzzit2uDeleted

                            you kidding right?lol

                            • 1 vote
                            #3.8 - Tue Dec 7, 2010 9:23 PM EST

                            Jeff: In addition to your post. Nancy cut her teeth where? That's right, California. She helped bankrupt the left coast and now she wants to do the same for us, spending us into the poor house and giving the leftovers to illegal aliens. I can't believe that the dims put this lady into the speakership. California used to be such a great place to be; to get a great education, make a lot of money, and had safe streets. Under Pelosi, and the other airheads that have been running California in the last twenty-five years, it has turned into a sty. Are they really going to make her minority whatever?

                            • 3 votes
                            #3.9 - Tue Dec 7, 2010 9:34 PM EST

                            Check Pelosi's success rate. You'll find most everything she brought to the floor passed. Including a 75 year old debate on healthcare. No other speaker has had her success rate. look it up.

                            • 1 vote
                            #3.10 - Tue Dec 7, 2010 11:16 PM EST

                            Continue to blame which ever Party - or Senate/House Leaders - wasted energy.

                            The wealthy 2% has, and will continue to, rule this country simply by spending tons of their money to buy many times over their original investment! They pay the Lobbist, all the negative political ads during our elections, setting up fake organizations to fabricate false "news and press releases" and keep the 98% stired up in angry and violent state of rage.

                            The 2% has never put this countries welfare before their own financial gain.....and never will! It is up to ALL parties of our govt system to finally stand-up and take control of this country out of the hands of the 2%! It is well past time that our elected officials start to represent "We the People" and not "We the Wealthy 2%"!

                              #3.11 - Tue Dec 7, 2010 11:30 PM EST

                              Hey Boss, given that Nanc just presided over the largest loss in congressional history, what is your definition of success?

                              • 1 vote
                              #3.12 - Tue Dec 7, 2010 11:38 PM EST
                              Reply

                              The media is twisting this like a pretzel! MSN: "A weakened Obama reaches a tax deal" Again MSN: Can Ob ama sell the Tax dal to Dems" Daily Beast: "Obama gets rolled" by John Avlon. "WH faults House Dems on Tax Deal."

                              Enough!! Enough of the spin. Fact is President Obama negotiated with the Republicans and in this compromise, both sides win.

                              Have the conservatives already infiltrated the main stream media?

                              • 14 votes
                              Reply#4 - Tue Dec 7, 2010 2:20 PM EST

                              Of course. They are taking notes from Fox "news". Instead of trying to be better, they just copy who has the best ratings. Bashing Obama = ratings I gave up on the 24hr news cycle a long time ago.

                              • 3 votes
                              #4.1 - Tue Dec 7, 2010 9:23 PM EST

                              It never ceases to amaze me that liberals and democrats are so power-hungry that they cannot stand the remotest avenue for the outlet of conservative views. Republicans have had to suck it up for years as they were reviled, hated, mocked, etc across the liberal-slanted network news stations. Just because Fox came along and revealed that there is a mass market for a conservative viewpoint, the liberals have to turn on it like a bunch of wild rabid dogs defending their turf. Wake up! People are tired of politics as usual, and no matter how inept you try to make groups such as the Tea Party appear, they actually represent what most Americans are thinking. Unfortunately for President Obama, the democrats are finally waking up to.

                              • 2 votes
                              #4.2 - Tue Dec 7, 2010 9:31 PM EST

                              American Historian - Does that make it OK to distort facts and have your pundits give their opinion on every story. Of course their opinion is conservative and they masquerade the whole thing as a real news station. Remember fair and balanced, now what is it, we report you decide. Please, they are already telling you how to decide. It just kills me that the elderly what fox and believe it all, because they come from a time when news men were respected, now they are all hacks, paid to say what Rupert Murdock wants them to.

                              • 1 vote
                              #4.3 - Tue Dec 7, 2010 9:54 PM EST

                              Because someone disagrees? Facts are no more distorted by Fox than they are by CBS, NBC, MSNBC, and ABC. News people are not respected because they give their own opinions, not the news....Fox has a lot of talking heads that state they are opinion programs. CBS, ABC, and especially MSNBC present themselves as NEWS programs...DNICE, you are right, Katie Couric is a hack!

                                #4.4 - Tue Dec 7, 2010 10:15 PM EST

                                D-Nice, have you never watched Olbermann, Maddow, Mr. Ed ??? You consider that news, fair and balanced ? Please! The only reason these hacks are on TV is to try and get MSNBC on the ratings map.

                                  #4.5 - Tue Dec 7, 2010 11:51 PM EST

                                  Fred L. And one that they are failing totally. Liberal-Progressives are what 20% of population if that. Oh, that's right, they are smarter than everyone else. Actually was listening to Laurence O'Donnell last night with four progressives and while I don't agree with him very often, boy did he give them a reality lesson. Same with Chris Wallace. It's only Ed, Keith and Rachel that are so far out in left field that they can't even see the field.

                                    #4.6 - Wed Dec 8, 2010 6:32 AM EST
                                    Reply

                                    So 63% is delicious chewy filling?...This is the "it could have been worse" administration...

                                    Bring on the apologists, sycophants, and enablers...

                                    • 4 votes
                                    Reply#5 - Tue Dec 7, 2010 2:25 PM EST
                                    Reply

                                    The USA needs credit counseling. Those payday loans from communist China never seem to get us out of debt.

                                    • 6 votes
                                    Reply#6 - Tue Dec 7, 2010 2:43 PM EST

                                    congress does

                                      #6.1 - Tue Dec 7, 2010 9:26 PM EST

                                      Uncle Obama just signed up for 900 Billion more. We'll all be learning Chinese and licking food stamps (made in China)!

                                        #6.2 - Tue Dec 7, 2010 10:59 PM EST
                                        Reply

                                        Republicans boast that the extension of lower tax rates is tantamount to job creation. What I am wondering is, will there be a way to assess the correlative job creation that results from the loss of $350 billion in the treasury? Also, why not mandate tax savings into U.S. based alternative energy investments, i.e. photovoltaic production factories, wind turbine production, hydrogen fuel cell generation, and R&D. $350 billion would represent enough investment capital to bring about substantive change. This would also offer the chance for profits to be realized, while at the same time America is strengthened as a foundation for the next century is formed. Without "outside the box" types of thinking such as this, America will continue to fall in last in alternative energy development as well as many other categories. The same tax rates continued for the next two years will only bring about the same results that Bush fostered 10 years ago with these rate changes- it didnt work then, why will it magically work now?

                                        • 18 votes
                                        Reply#7 - Tue Dec 7, 2010 2:58 PM EST

                                        If the Republicans have anything to say about it, that will not happen. The majority of Republicans don't seem to believe in global warming or the need to get off of oil. Remember, this is the party that started the war in Iraq for oil. What will probably happen are more instances of trashing the planet for oil.

                                        • 5 votes
                                        #7.1 - Tue Dec 7, 2010 9:13 PM EST
                                        whatzzit2uDeleted

                                        DM, my take on the Iraq War is that W started it and the Reps were too partisan (or maybe just chicken) to say "Are you out of your mind? Where did you get that from?" I don't recall a big Republican groundswell for it, just knee-jerk defense of it afterwards.

                                          #7.3 - Tue Dec 7, 2010 10:25 PM EST
                                          Reply

                                          A $120 billion Social Security payroll tax cut in 2011, with the rate being cut from 6.2 percent of earned income to 4.2 percent. For a worker making $60,000 a year, this would result in an additional $1,200 in take-home pay.

                                          Now am I getting this straight, an entitlement that will go broke someday is now getting their revenue cut. So we can find a way to tax people even more to keep the retired people happy.

                                          • 9 votes
                                          #8 - Tue Dec 7, 2010 3:09 PM EST

                                          Social Security is solvent until 2075 and this SS payroll tax cut is temporary for one year.

                                          Stop with the histrionics!

                                          Why aren't people jumping up and down about how the Republicans just hijacked the middle class tax cut so that they could give a tax break to millionaires?

                                          Noooooooo. It is all about how the President has no principle, no cajones, no love for the middle class, blah, blah, blah.

                                          Let's just face it. A lot of people hate this man just for who he is and not for his policies. He clearly has spent his entire adult life looking out for the little guy and now progressives are acting all brand new like the President has forgotten about the common folk when nothing could be further from the truth!

                                          • 17 votes
                                          #8.1 - Tue Dec 7, 2010 3:31 PM EST

                                          Thanks for correcting this Sheila.

                                          We should also point out this will help businesses. They too will pay 2% less in payroll taxes due to their matching responsibilities.

                                          • 6 votes
                                          #8.2 - Tue Dec 7, 2010 3:53 PM EST

                                          SS is only solvent if the Congress doesn't issue any more IOU's to it. But you cannot expect to keep a program like SS running unless you start taking away benefits.

                                          Many of the people that are going to retire over the next 20 years, did not pay into SS what they will take out. Many people think of SS as their retirement, not the supplement to their retirement that FDR had planned for. In 1940, there were over 150 workers paying into SS for every retired person. In 2009, there were 2.9 workers paying into SS for every retired person. And with the baby boomers about to massively hit the books. And you know they are not going to sit back and allow the government not to give them cost of living raises, like this year.

                                          You all had better wake up and smell the roses, you cannot take 4% away from something and expect to get more back in the long run. Unless of course you want to raise the retirement age to 70, today, not 65 years from now.

                                          I just can't understand why SS taxes were dropped. That wasn't what most people wanted. So I guess you all won't be crying when benefits are cut, because we are solvent until 2075.

                                          • 3 votes
                                          #8.3 - Tue Dec 7, 2010 4:00 PM EST

                                          Yep, that's what they're doing! IDIOTS!

                                          • 2 votes
                                          #8.4 - Tue Dec 7, 2010 8:55 PM EST

                                          Come on people! This whole thing has just been political posturing and wrangling. We knew they would give the tax breaks to the rich when the dust settled. It was almost scripted.

                                          • 4 votes
                                          #8.5 - Tue Dec 7, 2010 8:58 PM EST

                                          Businesses will still have to pay the current 6.2% SS rate. The 2% reduction is to the employee paid portion only.

                                            #8.6 - Tue Dec 7, 2010 9:13 PM EST

                                            The cuts were extensions of current tax rates and they were extended FOR EVERYONE. What is so hard to understand about that?

                                            • 1 vote
                                            #8.7 - Tue Dec 7, 2010 9:22 PM EST

                                            Social Secuirity would be solvent if the gov paid back all that they "borrowed" from the truct, I believe they "owe" 4 to 6 trillion. This is playing right into the Repubs and rigjht wingers hands, they have been trying to kill SS since its inception. I'm afraid that the gate has been opened. All you grey head Baggers and Repubs will regret 2010. You will bleed just like all of the middle class, but don't cry, its what you wanted.

                                            • 1 vote
                                            #8.8 - Tue Dec 7, 2010 9:29 PM EST

                                            The appearance of being a wealthy nation is important TODAY for popularity and legacy purposes....someone else will fix things in the future, right?

                                            • 1 vote
                                            #8.9 - Tue Dec 7, 2010 9:44 PM EST

                                            No Sheila MD, I think we are perfectly ready to torch both "Parties" with the same fagot. I know what is up with Mitch McConnell. He knows that the money that we have to borrow to run our ponzi scheme of a fiscal policy will come from his wife's uncles in China. He wants to drive the deficit as high as possible. By the way, when I say Parties I think of lawsuits, not congress. Congress is supposed to be a place where citizens conduct the people's business, not party. I'm thinking we could call all these institutions like Democrats and Republicans cartels. They are more like gangsters than citizens. So repeat after me: Democratic Cartel, Republican Cartel. Doesn't that sound more appropriate?

                                              #8.10 - Tue Dec 7, 2010 9:50 PM EST

                                              Sheila,

                                              The Bush tax cut was temporary also, is there a guarantee they will not extend this? I don't really know the numbers, but 2075 is a pipe dream. That is assuming the retirement age is raised a couple of times between now and then. Like to the average lifespan for an american so they don't have to pay out anything! You say it is solvent, if things get really bad where are they going to get the money to repay the money that has been borrowed against Social Security? Why is the government allowed to borrow this money to begin with? The whole thing looks like a massive ponzi scheme to me.

                                                #8.11 - Tue Dec 7, 2010 9:51 PM EST

                                                SS is not solvent till 2075...the current economic mess means lots of folks not working and not paying taxes into the system. We will begin to pay out more benefits than we will be collecting in taxes in 3 or 4 yeras...then we have to pay some of SS from the IOU debt that was issued by treasury. Read RUNNING ON EMPTY when you can By Pete Peterson...this is not a new problem...we just have kicked the can down the road for too long and now the bills are due. We will be fine just need to give up some benefits by baby boomers...if everyone gives up a % of their SS the system will be fine.

                                                  #8.12 - Tue Dec 7, 2010 10:02 PM EST

                                                  Actually it's two-sided. It amounts to a 4% cut if the employer gets the same break. (Haven't heard the details). So this yr. we have denied cola's and cut revenues to the third rail of gov't. But don't you mess with Social Security !!!!!! LMAO!

                                                    #8.13 - Tue Dec 7, 2010 11:56 PM EST

                                                    Perfect Vision

                                                    Go USA

                                                    What part of this extension of the 2% Tax Bonus will cost the USA $450 BILLION and just like the past 10 yrs. debt caused by the original "Bonus" - the US will pay for it with borrowed money from China and other countries! Those that have been "loaning" the money.......are also making a profit from our debt. Only folks who are NOT profiting.....is the good ol USA!

                                                    Reality - the Tax Bonus cost more than the entire Stimulous Pkg. that so many folks are up in arms about! If the Stimulous Pkg. remains such a huge controversy - why are you just fine with the larger debt and the fact that it will be paid by further debt from borrowing money from China and other countries - simply to benefit the 2%?!?!?

                                                      #8.14 - Wed Dec 8, 2010 12:01 AM EST
                                                      Reply

                                                      Business hires or lays off based on demand, if demand does not increase they will not hire and the tax savings will be extra profit, if demand increases then they will hire and the tax savings will be extra profit. You can give me a 90% tax break if I don't have the demand I am not going to hire, I'm not going to hire because I will only lose 10% as opposed to losing say 30%. If the demand is there I would hire whether I can make an extra 10% or say 30%.

                                                      • 4 votes
                                                      Reply#11 - Tue Dec 7, 2010 5:05 PM EST

                                                      All anyone has to do to see how low business tax rates effect the economy is to look at Ireland. Ireland use to be the conservative talking heads poster boy for low tax rates and success.

                                                      • 2 votes
                                                      #11.1 - Tue Dec 7, 2010 5:18 PM EST

                                                      Well the cuts have been in place for ten years, where are all the jobs tax cuts produce! I am not against the wealthy or tax cuts necessarily, I just don't buy that they inherently create jobs.

                                                      • 9 votes
                                                      #11.3 - Tue Dec 7, 2010 6:42 PM EST

                                                      I guess you want to give nothing to the government for infrastructure, the common good? Sounds like you like the idea of anarchy, no rule of law, and survival of the fittest. Why don't you go live in a jungle and fight it out with the snakes and panthers.

                                                      • 6 votes
                                                      #11.5 - Tue Dec 7, 2010 9:00 PM EST

                                                      I think most people are already giving to the government for infrastructure and the common good. We just don't want to give more...Because the people in charge have no idea how to spend intelligently. They buy what is not needed, what the payers don't want, and funnel money to their selves. Why should we be forced to pay more to the government for their being irresponsible? They play, we pay. I don't think so!

                                                      • 1 vote
                                                      #11.6 - Tue Dec 7, 2010 9:28 PM EST

                                                      We are not talking about taking all the money from the rich. If the Bush tax cuts expired, the tax rates would go back to what they were in the 90's. Remember the 90's when everything was booming. Those high taxes didn't seem to hurt anything then, why would it now. The whole tax thing is a myth created by republicans to help the rich.

                                                        #11.7 - Tue Dec 7, 2010 9:30 PM EST

                                                        They aren't tax cuts anymore. They have been in place so long there is some sense of balance. But letting them expire will be a tax increase. Any tax increase has exactly the opposite affect as a cut. And the real truth is that you cannot successfully increase taxes on the rich. They will cut costs, raise prices, cut salaries, defer some income, etc. In other words, do whatever it takes to not have to pay more tax or just collect the difference from somebody else if they have to. And who can really blame them. In spite of the garbage liberals have been spewing, you get more from the govt than they do. You think Bill Gates is looking forward to his SS checks? For that matter, do you really think Bill Gates needs any income next year? You think that means he will just pay all of his income in tax and be happy about it. But if he doesn't want to pay tax (and most people don't) he can just choose to not have any income. How about you? Can you avoid paying income tax next year? Do you really wonder why the liberal rich love the income tax so much? Better than having to pay $7 million in sales tax on that new jet, I'll tell you that. Instead of thinking of ways to get to someone else's money, think if this. Who decides how much you are going to get paid next year? Do they make more than $250,000 per year? Do they make more if you make less? For most of you, those answers are yes. The result is that you will pay all of the extra tax if the tax cuts are allowed to expire, even under the original Obama plan, you were going to pay the bulk of it. The simple truth is that raising tax rates don't raise more tax revenue. Never has, and never will. It simply shifts more of the real tax burden over to the consumer/middle class. Someone was talking about how they didn't care if Exxon had to pay more tax. But Exxon doesn't really pay tax. They are a producer who collects tax. Every dollar of the business income tax really comes from the customers. You raise their taxes and they just go up a few pennies on the price of gasoline. And when you buy a new washing machine from Sears, part of the purchase price pays the tax that gets collected from Sears, the trucking company that delivered the machine and Maytag who made it. But if we go down on their taxes, they don't just pile up money in a bank, they do things with it. Raises, cut prices, distributions, etc. Money flows and moves, it doesn't just sit. Unless we raise taxes, then it sits. Uncertainty, protection, avoidance. Those are the results of tax increases. Not more jobs. Not more prosperity. Well, unless you work for the government, that is. I wonder how many of you simple minded liberals just work for the government?

                                                          #11.8 - Wed Dec 8, 2010 1:03 AM EST

                                                          How many simple fools work for Boeing, how many simple fools work in the defense industries, how many simple fools work for the highway department, how many simple fools work for the police department. You are a simple fool where do you work?

                                                            #11.9 - Wed Dec 8, 2010 9:40 AM EST

                                                            There was a post on another article here regarding the Tax Bonus by "C here" that was a fairly simple idea....

                                                            How about getting rid of the Income Tax all together and have a Consumption Tax? He stated enacting a penny on every dollar on every purchase. Same concept that seems to have been around forever - Sales Tax!

                                                            Wealthy 2% would then be paying more as they spend more. Everyone would be paying the exact same rate of tax - according to the money they spend.

                                                            Just a thought.....

                                                              #11.10 - Thu Dec 9, 2010 6:52 PM EST
                                                              Reply

                                                              Once again the Republicans screw the American People.

                                                              • 5 votes
                                                              Reply#12 - Tue Dec 7, 2010 5:57 PM EST

                                                              Where are your facts for your statement"

                                                              "In fact, I dare say that the executives of most businesses put in far longer work days and work weeks than any govt. worker, union worker, or hourly paid workers."

                                                              In response to this, I worked for 15 years in corporate America side by side with "executives", where the salaries were ridiculously generous. I will tell you from my experience, that life was lush, lunches were long, paid for, business trips lavish and vacations plentiful. Work ethic my arse! These execs sat in meetings letting their mouths run off and disappeared at lunch for as long as they wanted.

                                                              The people with the greatest work ethic are those who work three jobs and can barely meet their bills. Those people know drive like no others. They toil, press on, and live mediocre, difficult lives. These aren't facts, but anecdotes of what I have seen all my life. I have made a lot of money. But I have NEVER begrudged or insulted those less resilient or unfortunate. And I do not believe that there are huge swaths of poor people "working the system" Rich people do that. That is why they are so disproportionately rich. That is why this country is in trouble.

                                                              Keep your money if it makes you feel great, but you'll not be able to take it with you. You might want to try out less criticism, scrooge, than maybe the pearly gates will let you in. Merry Christmas.

                                                              • 5 votes
                                                              #12.2 - Tue Dec 7, 2010 9:10 PM EST

                                                              Class warfare, thanks for the buzz word there Glenn Beck. You can spot a fox viewer a mile away.

                                                                #12.3 - Tue Dec 7, 2010 9:32 PM EST

                                                                John, I can't agree You are basing your theory and story on the claim that those who have accomplished wealth have done it on their own, but in reality our government has supplied the infrastructure for continued growth, interstate highways, dams, electricity, etc. Now, consider wealth in terms of a commodity, yes the answer is our currency, owned by our government. With out this commodity we all would have a difficult time acquiring much, unless we could barter for everything we cannot produce ourselves, highly unlikely. Now money as a commodity reacts by basic economic principle, supply and demand, when in balance money is static/no change, but when the demand is greater than the supply the value of money goes up. Those who work harder as you say demand more money, those who are not seeking more must pay more for the same amount of money, or take a lesser amount. So why shouldn't those who demand more of our governments money pay more to use it, instead of all of us paying for their increased demand?

                                                                • 1 vote
                                                                #12.4 - Tue Dec 7, 2010 10:43 PM EST

                                                                "class warfare" is not the latest buzz word. In this context it goes back decades at least.

                                                                  #12.5 - Tue Dec 7, 2010 10:45 PM EST
                                                                  Reply

                                                                  Perhaps the definition of a good compromise is one that nobody really likes. I for one was surprised by the the SS withholding tax break. But I can also see that cutting that rate, even for a short time period is stimulative. Since it is temporary, I can live with it as the economy remains anemic. I would have preferred one of the Senate proposals to target the increase at the $1m mark rather than the $250k mark.

                                                                  In my opinion a better compromise would have had a longer time horizon than two years. What the entrepreneurs, large and small business owners and executives that make hiring decisions need is certainty. There is a lot of capital sitting on the sidelines. A two year deal does not really fix it. Unless the tax code and debate over how it will look for at least a 6-10 year span are settled, one way or the other, the capital will remain on the sidelines. Not injected into business expansion, hiring, etc.

                                                                  • 2 votes
                                                                  Reply#13 - Tue Dec 7, 2010 7:04 PM EST

                                                                  Oh my Dear John Stephens, you dare question that jobs will not be created at a strong pace?? I thought this was the fight the Republicans excused their temper tantrums with for the reason they wanted tax cuts for the wealthy. Remember to create all these jobs from the private sector. Was that not their ammo and part of their hijacking to not allow anything in Congress to pass otherise???

                                                                  • 2 votes
                                                                  #13.2 - Tue Dec 7, 2010 9:08 PM EST

                                                                  Entrepreneurs don't need certainty...they are the ones who go out and look outside the box to create something new. They take risks, and they don't think like the corporate bureaucrats do. They move to a different drum. Corporate America is risk adverse, AND at this point in time has a large bunch of CEO's who are NOT remotely creative and who don't know HOW to grow anything. I have seen it time and time again in my line of work, and if you pay attention, you will find many who believe the same thing. They cry about not wanting to hire people because they don't know what is going to happen. That is absolutely ridiculous. They don't know what they are doing, want to have it the old way, and so will sit on their money until they can vote Obama out. That is the goal. So, perhaps we should look at Steve Jobs. Apple has continued to grow and make more and more money. It's called working from a place of no fear and understanding how to grow something. If I was a large stock holder, I'd be more than annoyed with these large companies sitting on their money not doing anything with it. The current crop of CEO's need to be fired and new people with actual ideas and skill need to be hired to take their place. Without that happening, we will continue to recede economically, unable to compete with the world. We dink around with tax breaks instead of facing the real issues. It's a place of scarcity, and we suffer from thinking like losers who only worry about themselves. We apparently would rather sit and do nothing but quibble than move forward with new thought processes. It is a very sad commentary on the U.S. indeed.

                                                                    #13.3 - Tue Dec 7, 2010 9:32 PM EST

                                                                    I have to admit I was floored by the SS tax cut, with the program's slovency in constant center stage you would think it's a pretty irresponsible action. The whole SS issue has been debated far too long, the issue should be put to bed once and for all and eliminated from future political debate. I believe there are actuarial reviews that indicate a 1-1.5% tax increase on FICA will extend the slovency 80 years beyond the current 2037 crisis date, and 2% solves the problem, period! So why not increase the personal FICA 1% and the coporate match 1%, then lower the federal income tax by 1% to both individuals and corporations to make it a tax neutral event, and take this issue off the table. Actually, everyone should be in the program, all federal, state and municipal workers should join the rest of America, then we'll all be in the same foxhole together. This way the damn politicians and media will lose 25% of the crap they're constantly pounding the public with fear and scare tactics.

                                                                      #13.4 - Tue Dec 7, 2010 9:35 PM EST

                                                                      I can't give the names or dates of the articles I read because I couldn't book mark them, but I have read at least 5 that stated Wealthy Republican business owners have already promised they will HIRE NO-ONE as long as Obama is President. They are all greedy and hateful liars. You couldn't PAY me enough to vote Repub! They make me sick!

                                                                      • 2 votes
                                                                      #13.5 - Tue Dec 7, 2010 9:49 PM EST

                                                                      Yeah GH. Right on man! Power to the people man! Damn those hateful Republicans anyway. Not wanting to do whatever it takes to make Obama look good. Instead they are mad that he has gone out of his way to try and destroy American business in favor of a health care plan we can't afford. Imagine the gall of those businessmen. After all, the only reason we tolerate them is to have them pay for everything we want and now they won't pay. What we should do is just tax them and regulate them right out of business. That will show them. We don't need no stinkin' jobs.

                                                                        #13.6 - Wed Dec 8, 2010 1:51 AM EST
                                                                        Reply

                                                                        One thing Ronald Reagan taught us is that deficits don't matter.

                                                                        -- Dick Chenney

                                                                        • 5 votes
                                                                        Reply#16 - Tue Dec 7, 2010 8:16 PM EST

                                                                        LOL only when the republicans are running up the debt!

                                                                        • 2 votes
                                                                        #16.1 - Tue Dec 7, 2010 9:11 PM EST
                                                                        Reply

                                                                        This is a really bad deal for the middle class. It gets a token now, and gets a huge bill that is going to cause substantial increases in its taxes and cuts in its needed benefits later. There will be little shared benefit from this deal, and no shared burden later. The rich get the lion's share and won't have to pay for it. This is an insult to the working class.

                                                                        • 3 votes
                                                                        Reply#17 - Tue Dec 7, 2010 8:55 PM EST

                                                                        Perhaps you need to go back and read the article. Most of the cost of the bill goes to items supporting the middle class and below.

                                                                          #17.1 - Tue Dec 7, 2010 9:09 PM EST

                                                                          Your thoughts may be so, but being in the income bracket that "they" have chosen to classify as "rich" (which is crazy) my husband is pretty insulted that he gets taxed at the highest rate. He has worked his a$$ off through the years, and still does, for what he makes. Why should he/we be penalized?

                                                                            #17.2 - Tue Dec 7, 2010 9:21 PM EST

                                                                            Peter17, who in the Hell are you to tell others what to think? Are some kind of messiah?

                                                                              #17.3 - Tue Dec 7, 2010 9:35 PM EST
                                                                              Reply
                                                                              lm89Deleted

                                                                              America does not have a "tax" problem, we have a spending problem. Bring on all of the tax cuts! I am for them all, poor, middle class, and wealthy. What I am really interested to see is when will we agree to cut spending significantly?

                                                                              • 4 votes
                                                                              Reply#19 - Tue Dec 7, 2010 9:05 PM EST

                                                                              When we stop spending on WAR we will be able to fund America's infrastructure and take care of her people.

                                                                              • 3 votes
                                                                              #19.1 - Tue Dec 7, 2010 9:17 PM EST

                                                                              HankE,

                                                                              I'm sorry, but that is the exact mindset that will destroy this country. There are a tremendous amount of opportunities in the U.S. right now, oh wait, that would only be for the people who want to actually better themselves by learning new skills and getting of their butts! As for the taxes, they have gotten out of hand for so long it ridiculous. The original taxes were very low, look up U.S. tax history. Government is essential, but not for social welfare. And don't give me crap about what the government does, if you can't discern between fluff and community services please don't reply.

                                                                              • 1 vote
                                                                              #19.2 - Tue Dec 7, 2010 10:02 PM EST
                                                                              Reply

                                                                                Reply#20 - Tue Dec 7, 2010 9:07 PM EST
                                                                                duggjrDeleted

                                                                                Cut taxes, increase overall spending, promise even more...who says Americans can't have their cake and eat it too...Im keeping my Bush tax cuts, the payroll tax is a douible bonue for me since I have to pay my full 12.4% and 6.2% for several employees as well...the wife and I will enjoy an extra week in Florida this winter...thanks reps and dems

                                                                                  Reply#22 - Tue Dec 7, 2010 9:11 PM EST

                                                                                  Gobama, Gobama, cut taxes, Gobama

                                                                                    Reply#23 - Tue Dec 7, 2010 9:12 PM EST

                                                                                    Obama is NOT Cutting Taxes. The tax rate at the present time will not go UP!!!! This is not a TAX CUT - this means that for the time being our TAXES ARE NOT GOING UP!!!!!!!!!!!!!!!!!!!

                                                                                    • 3 votes
                                                                                    #23.1 - Tue Dec 7, 2010 9:28 PM EST
                                                                                    Reply

                                                                                    wait till all those 99s start drawing welfare and bankrupting the states they are located in. what about them?????

                                                                                    • 1 vote
                                                                                    Reply#24 - Tue Dec 7, 2010 9:13 PM EST
                                                                                    sdfwefweDeleted

                                                                                    Welfare, as most people might have known it, no longer exists in the US. It used to be some could get on welfare and simply stop working for seemingly no reason at all. That is not possible today. A person is able to get onto government assistance for a maximum of 2 years. If an individual who is on assistance is able to get a job during that time they may be able to qualify for up to 3 more years of reduced assistance so the individual is able to get back on their feet and hopefully reach a point in their earnings where they are able to fully support themselves. Keep in mind that once they have a job, the level of 'reduced assistance' they receive is directly tied to how much they make at their job; the more they earn, the less assistance.

                                                                                    This system is very similar to a program that Iowa had years back referred to as 'workfare.' This program would pay a person an amount equivalent to their unemployment provided they were willing to work for the county. My father had to do this when he was in his late forties and his employer closed its doors. He helped county road crews fill potholes, poor new sidewalks on city/county property, and other similar projects. It not only provided some small amount of financial assistance to the individual and his/her family, but also allowed them to retain some measure of their dignity.

                                                                                      #24.2 - Wed Dec 8, 2010 7:57 AM EST
                                                                                      Reply

                                                                                      This article is a shameless attempt to provide Administration spin. You should be ashamed of yourselves.

                                                                                      This "compromise" greatly inflates the deficit and doesn't make rich people start paying their taxes. All it does is pass a gigantic debt onto the next generation of working class people.

                                                                                      President Obama is a fraud, and I'm sorry I voted for him.

                                                                                      • 1 vote
                                                                                      Reply#25 - Tue Dec 7, 2010 9:13 PM EST

                                                                                      Without the compromise unemployment benefit would have been canceled on many people, as well as middle class taxes going up. That's OK go ahead and vote for a republican next time, if you want to be a spoiled whiner, you would fit right in.

                                                                                      • 2 votes
                                                                                      #25.1 - Tue Dec 7, 2010 9:43 PM EST

                                                                                      So you think that Republicans are spoiled and whine more than Democrats? Gee, I say that just the opposite is true and it will get louder and louder!

                                                                                        #25.2 - Tue Dec 7, 2010 10:12 PM EST
                                                                                        Reply
                                                                                        lm89Deleted

                                                                                        Bullsh-- you want to decrease my mothers social security again and give the people who are unwilling to take a job any job 13 more weels of unemployment. The ssi my mother gets now for working 60 years is pathetic. She cant afford her medicine as it is let alone decent food. Was that 13 weeks or months it's crazy.. we are in trouble.

                                                                                        • 1 vote
                                                                                        Reply#27 - Tue Dec 7, 2010 9:13 PM EST

                                                                                        Let me get this straight, Someone works hard all their lives, is intelligent and talented, and makes a lot of money, they have no right to it.. They owe it instead to those who choose not to get an education, and before you start saying that poor people cannot afford an education (thats BULL...) there are more scholarships and grants out there for people that are poor and who are willing to do some work and research and fill out the paperwork. They owe they're money to those who refuse to work (there are those), They just owe everyone all they're money. You all keep talking about they have more right offs and hide they're money, how about those who get tax credits because they keep having babies and even if they did not pay much taxes they actually get more than they paid in. I know the rich are responsible for that payment also. You all make me sick and no I am not rich, I was a single mother that worked 3 jobs ( waitress, gas station, and housekeeping) to support my son and teach him that it is his responsibility to get ahead and support himself. He is now a young man that joined the Military for 4 years, received a GI Bill, and then when he got out he worked a full time job and went to school full time and received a education earning honors paying for it with both the GI Bill and his own money. I went back to school after my son graduated high school and graduated a year after him from college using my own money and loans that I am still paying back. I earn about 45,000 a year and I am sure there are those of you that say I owe you to... All of you can kiss my a--. Go to work!!!!, and Yes there are JOBS out there, but he-- you make more money on welfare or unemployment. I am grateful I owe NOBODY anything....

                                                                                        • 2 votes
                                                                                        Reply#28 - Tue Dec 7, 2010 9:14 PM EST

                                                                                        Cbarker, they are thousands of educated hard working middle income Americans who lost their jobs mostly due to corporate greed. These corporations are sitting on huge earnings, but chose to axe jobs for fear of going back to the tax bracket they should have been in the first place. The Bush administration should have never enacted these cuts. Leading economists and advisors from Republican past presidents denounced this plan to continue these tax cuts for the upper 2 %. I am sure the current republicans in the congress would never have allowed the tax cuts to expire for the wealthy. This is the change the voters will get and clearly shows where the republican priorities are.

                                                                                        • 1 vote
                                                                                        #28.1 - Tue Dec 7, 2010 9:21 PM EST
                                                                                        Reply

                                                                                        I’m trying to understand why – and therefore need your help – the segment of American unemployed known as “the 99ers” have been excluded with respect to extension of unemployment insurance benefits.

                                                                                        Although this segment has (or will) received ninety-nine weeks of UI benefits, there are still…at this time not enough jobs available in the American economy to accommodate the number of unemployed seeking work. Projected job growth over the course of the next 12 months ranges from stagnant to low. This is widely known.

                                                                                        There absolutely ARE jobs out there…no argument there…simply not enough. Also…it’s an “employers market”. Employers are less willing to hire the long term unemployed.

                                                                                        99ers had the great misfortune to lose work at the START of the recession. As the recession continued, the job market tightened. Job descriptions merged. Requirements became more stringent. And all the while…there were, and still are many, many applicants vying for each available opportunity.

                                                                                        Who are the 99ers? What are the demographics of this segment of the unemployed? I don’t know (factually) but my guess for the majority is:

                                                                                        - Age 40 and up

                                                                                        - Prior salary history 40K and up

                                                                                        - Level of education 4-year degree and up

                                                                                        - Skilled labor caliber high

                                                                                        - Some management experience

                                                                                        Employers do not want to take a risk hiring 99ers because they fear these people will leave the position once a better one comes along. This is true whether national unemployment is at 4% or 10%. This is part of the reason 99ers exist today. There are jobs out there…but very few that (from the employer’s perspective) are a “good fit”.

                                                                                        As UI benefits provide only a portion of one’s past income, many 99ers have lost housing, transportation, health insurance, car insurance, savings, 401k, retirement funds, college funds, “good credit” and any and all gold jewelry (including wedding bands). The loss of housing, transportation and credit worthiness in particular reduce the candidates’ chances of obtaining employment…a very slippery slope.

                                                                                        The safety net offered by states continues to shrink…many 99ers will not qualify for benefits offered by their states.

                                                                                        Is the segment of American unemployed known as the 99ers viewed by our elected officials as acceptable collateral damage?

                                                                                        Please include 99ers in the planned extension of UI benefits. Many have been without any form of assistance for some time now. They are 6 million(+) “ghosts” spread all across the country – and therefore invisible to many. But they do exist…in the flesh. They lost their jobs through no fault of their own. They are bright, skilled, talented, educated, hard-working Americans with nowhere to turn.

                                                                                        Expansion of UI benefits to include 99ers has a very positive ROI quotient, as ALL of those funds would be (i) taxed and (ii) put to immediate use in our fledgling U.S. economy. This is also widely known.

                                                                                          Reply#29 - Tue Dec 7, 2010 9:14 PM EST

                                                                                          Republicans won seats in Congress with the promise to cut the deficit and what did they deliver today----a negotiated deal with Obama worth $ 900 billion in deficit spending. Bribing the wealthy elite in this country to pretty please provide jobs and in return large sums of money will come your way via income and inheritance tax reductions. I am really surprised to hear McConnell and Boehner not bring up the family farm in this debate, oh I forgot, that only works when they want to generate sympathy for losing the family farm due to the "death tax." When will the middle class quit being simpletons and wise up to the ways of politicians using clever phrases to dupe the middle class in order to reward Wall Street and CEO's. Wall Streets little elves McConnell and Boehner lived up to their promise to their banker and CEO's buddies by shielding their mega bonuses and salaries from fair taxation in exchange for job creation fiction. Aren't these the same guys who moved our manufacturing base offshore to satisfy their greed for profits? Aren't these the same Wall Street bankers and CEO's who just got bailed out by taxpayers and who are about to receive record bonuses and pay? The ones who created this economic recession we are in and struggling to put behind us are now going to have their tax burden lessened so they can keep more of their ill gotten gains. The middle class deserves what they are getting and will continue to get until we wise up and see the political games being played that favor the wealthy elite and call them out. I am an independent, and used to vote mostly Republican but I am tired of being duped. Give me a third party that is similar to the tea party absent their unofficial spokeswoman Sara Palin.

                                                                                          • 2 votes
                                                                                          Reply#30 - Tue Dec 7, 2010 9:16 PM EST

                                                                                          Let's see if I get this right--Social Security is in terrible trouble, and should be abolished right when the people who paid the most for others' retirements are finally getting to collect some, but of course we have to cut funding to it to make rich people feeling better about getting another huge tax cut. Oh, yeah, and these are the same people who are screaming blue murder about Obama's deficit while forgetting their own.

                                                                                          Excuse me?

                                                                                          • 4 votes
                                                                                          Reply#31 - Tue Dec 7, 2010 9:18 PM EST

                                                                                          Yep, excessivelyperky you have it right!

                                                                                          • 2 votes
                                                                                          #31.1 - Tue Dec 7, 2010 9:23 PM EST
                                                                                          Reply

                                                                                          Is the budget released by Ireland today in a last ditch effort to cure its economic issues going to set the standard for what will happen in the United States once investors realize that we are unlikely to ever pay back the debt owed? Here's a look at how Ireland is handling its debt crisis:

                                                                                          http://viableopposition.blogspot.com/2010/12/will-irelands-austerity-plan-become.html

                                                                                            Reply#32 - Tue Dec 7, 2010 9:19 PM EST
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