Sunday, December 25, 2011

How to destroy the middle class

In a splendid recent editorial piece, The New York Times  distilled every bad idea floating around the liberal policy agenda.

A few choice moments:
"Economic growth alone, ... would not be enough to restore the middle class"..."To lift wages requires generous tax credits for low earners, a higher minimum wage, and guaranteed health care" ... "Job training efforts" 
That is, after all, how our ancestors got off the farm.
"...the [jobs] bill recently filibustered by Republicans would have created an estimated 1.9 million jobs in 2012."
I didn't know the tooth fairy was making economic "estimates" these days.
..."unrelenting political pressure for principal write-downs of underwater loans, expanded refinancings for borrowers in high-rate loans, and forbearance for unemployed homeowners." 
Econ 101 quiz. What happens to the unemployment rate if you don't have to pay your mortgage so long as you don't get a job?
"..all forms of income to be taxed at the same rates"
That means dividends and capital gains at the 39.5%  rate. Well, at least it's consistent. If you don't believe in saving and investment, taxing the heck out of them should do the trick.  
 "a financial transactions tax."..."high-end tax increases.. to control the deficit"....  "public education, Social Security, unions, child care, affirmative action and, not least, campaign finance reform"
Read on, (how to destroy the) "Middle Class Agenda" at the New York Times