Home > Economics, Election 2008 > Pretty Typical

Pretty Typical

January 14th, 2008

Obama released the details (PDF) for a $120 billion stimulus package he is introducing as a bill in the Senate which would give an immediate $250 tax cut for working families, with an additional $250 in the future if the economy worsened.

What does the Republican political machine call it? A “knee-jerk tax-and-spend” proposal.

A tax cut is ”tax-and-spend“? Interesting. I don’t recall them saying that when Dubya cut taxes for rich people. Maybe that’s it–it’s a tax on wealthy people when you give working families a break.

The package demonstrates a big difference between how Democrats and Republicans approach stimulus: Republicans favor top-down (or ”trickle-down“), where you give money to rich people and corporations, and, in theory, the money will make its way down to the lower classes, who will then spend it and the economy gets better. Democrats cut out the middle man and give it directly to the people who can do the actual stimulating. Not to mention the people who are more likely to keep it in the U.S. as opposed to sending it offshore to avoid taxes.

Categories: Economics, Election 2008 Tags: by
Comments are closed.