The president was in Hawaii while the supercommittee hit stall speed. What is new about this? Very little.Obama has no real interest in cutting government spending because that would cut the size of government. He's all about growing government to have the federal government involved is more and more aspects of our lives that it was never previously involved in.
Throughout his term, President Obama has avoided leading on the issue of fiscal responsibility. He walked away from his own commission, the one led by former Sen. Alan Simpson (R-Wyo.) and former White House Chief of Staff Erskine Bowles, when he found its report filled with inconvenient choices.
Now in a week when leadership is needed to push this critical committee to do something big and bring the nation’s fiscal house back into order, the president once again disappears. It causes one to wonder, why?
The general consensus is that neither he nor the people around him feel there is a great upside to doing something that involves making so many difficult decisions to straighten out our nation’s fiscal future.
Facing the fiscal reality of our exploding debt will be a major responsibility of our nation's leaders over the next ten or twenty years. So far, Barack Obama has either expanded the debt or ducked responsibility when it comes to crafting some sort of deal. A real leader would have been in there working to achieve some sort of break through with the super committee. Remember how Obama's supposed job plan would have added more of a burden to the committee's task in finding cuts. His lack of involvement in trying to find cuts in federal spending exposes how he's all about spending, but AWOL when it comes to cutting spending.
All he seems to be able to advocate are increased taxes. What this ignores is that we're already set for a major jump in taxes on the wealthy starting in 2013.
Most people do not know that already enacted in current law for 2013 are increases in the top tax rates of virtually every major federal tax. That is because the tax increases of Obamacare become effective that year, and the Bush tax cuts expire, which Obama has refused to renew for the nation’s small businesses, job creators and investors.Yet still, Obama thinks that the best policies for fostering economic growth is still more increased taxes. Spending cuts, not now, not ever.
As a result, if the Bush tax cuts expire just for singles making over $200,000 per year, and couples making over $250,000, in 2013 the top two income tax rates will jump nearly 20%, the capital gains tax rate will soar by nearly 60%, the tax on corporate dividends will nearly triple, and the Medicare payroll tax will leap by 62% for those disfavored taxpayers.
This is on top of the U.S. corporate income tax rate, which is virtually the highest in the industrialized world.