Obama's Tax Plan and Income Redistribution Hurts the Economy and the Middle Class

Senator Obama's tax plan is packaged as tax cuts for the middle class when in reality there are numerous tax increases on the middle class and on small business owners. Senator Obama's tax policies are similar to those of Herbert Hoover who raised taxes, implement isolationist policies, and drove the American economy into a massive depression. Senator Obama claims that his tax policies that give a government check to people not paying anything in income taxes are done in the name of fairness. However, the economic depression that his policies would likely trigger is fair to no one. Investor's Business Daily lays out the problems with the Obama 'spread the wealth' tax plan in their article Investors Flee From 'Change' Obama Hypes

These tax credits are devised to phase-out based on income, which will ultimately increase marginal income tax rates for middle-class workers. In other words, as you earn more, you suffer a penalty in the phase-out of these credits, which has the exact effect of a marginal tax rate increase. That harms, rather than improves, the economy.

With the bottom 40% of income earners not paying any federal income taxes, such tax credits would not reduce any tax liability for these workers. Instead, since they're refundable, they would involve new checks from the federal government.

These are not tax cuts as Obama is promising. They are new government spending programs buried in the tax code and estimated to cost $1.3 trillion over 10 years.

Obama argues that while these workers do not pay income taxes, they do pay payroll taxes. True, but his planned credits do not involve cuts in payroll taxes. They are refundable income tax credits designed to redistribute income and "spread the wealth."

Meantime, Obama has proposed effective tax increases of 20% or more in the two top income-tax rates, phasing out the personal exemptions and all itemized deductions for top earners, as well as raising their tax rates.

He wants a 33% increase in the tax rates on capital gains and dividends, an increase of 16% to 32% in the top payroll tax rate, reinstatement of the death tax with a 45% top rate, and a new payroll tax on employers estimated at 7% to help finance his health insurance plan. He's also contending for higher tariffs under his protectionist policies.

Finally, he would increase corporate taxes by 25%, though American businesses already face the second-highest marginal tax rates in the industrialized world, thus directly harming manufacturing and job creation while weakening demand for the dollar.

Obama argues disingenuously that his tax increases would only affect higher-income workers and "corporate fat cats." But it is precisely these top marginal tax rates that control incentives for savings, investment, entrepreneurship, business expansion, jobs and economic growth. While he wants to tax the rich, the burden will fall on the poor and the middle class.

Obama's Tax Plan and Income Redistribution Hurts the Economy and the Middle Class

IBD: Barack Obama's Stealth Socialism

Investor's Business Daily's article Barack Obama's Stealth Socialism is definitely worth a read. An exerpt follows...

During his NAACP speech earlier this month, Sen. Obama repeated the term at least four times. "I've been working my entire adult life to help build an America where economic justice is being served," he said at the group's 99th annual convention in Cincinnati.

And as president, "we'll ensure that economic justice is served," he asserted. "That's what this election is about." Obama never spelled out the meaning of the term, but he didn't have to. His audience knew what he meant, judging from its thumping approval.

It's the rest of the public that remains in the dark, which is why we're launching this special educational series.

"Economic justice" simply means punishing the successful and redistributing their wealth by government fiat. It's a euphemism for socialism.

In the past, such rhetoric was just that — rhetoric. But Obama's positioning himself with alarming stealth to put that rhetoric into action on a scale not seen since the birth of the welfare state.

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IBD: Barack Obama's Stealth SocialismIBD: Barack Obama's Stealth Socialism

McCain the King of the Comeback

As the media tries to call this race over, it's worth noting that not only is this not the first time that the media has declared the McCain campaign dead. It is also worth noting that Senator McCain's underdog role is nothing new to him, and he has a pentiant for pulling off upsets just as he's being counted out. In fact his odds in this race are remarkably good compared to other challenges he has faced in his life...

Now, as he presses against the strongest political headwinds in many, many years, he’s trying to follow his own advice. Looking back to the early days of the campaign, John Weaver told me that McCain, politically, was “facing a Category 1 hurricane” when he began his race. Now, Weaver says, “it’s a Category 5.”

Despite it all, McCain pushes on, propelled by a drive most people just don’t have. I remember traveling to Iowa in the fall of 2007, after McCain’s campaign meltdown had left him in dreadful financial straits. We were going to the farthest reaches of northwest Iowa, near the Minnesota border. McCain was staying in a Holiday Inn Express in the middle of nowhere — when you walked out the door, the smell of fertilizer got your attention pretty quickly — and he was traveling around in a minivan because his bus had broken down. He spent his days talking to small groups — sometimes really small groups — in diners and pizza joints.

He was 71 years old at the time, wealthy, with a safe and senior spot in the Senate and a career that few, if any, public servants could match. On top of that, his campaign had blown up in an explosion of mismanagement and bad feelings that had many political insiders and journalists writing its obituary. And yet there he was, plugging away, every day, animated by something that is unique to his character.

And why shouldn’t he feel that he can overcome just about anything? This is a man who has dodged death — real death, not political death — many times. There’s more to the story than his enduring five and a half years as a prisoner of war — just look at the fuzzy old black-and-white film of McCain on July 29, 1967, leaping off the refueling probe of his jet after it had been struck by a missile on the deck of the USS Forrestal. It was one of the worst disasters in Navy history, killing 132 men. McCain, miraculously, walked away from it. On one of those trips around Iowa, sitting in the back of his bus — after his campaign found one that worked — McCain described the days after the Forrestal fire. He was at a meeting in which the commanding officer asked if anyone would like to volunteer to transfer to another carrier, the USS Oriskany, which had itself undergone a fire, although a less serious one. Describing himself as if he had been an outside observer, McCain said that he saw his hand go up to volunteer when he could have sought out a less dangerous assignment; on that day in Iowa, 40 years later, he still seemed a little surprised by what he had done. But off he went, and it was from the Oriskany that he took off on the mission that led to his capture and imprisonment, events that would inform so much of his subsequent political career.

The lesson is that McCain is always searching for something new to overcome. Of course he would rather not be facing quite so many political adversities at once, but he is a man who, if he makes it out of one scrape, puts himself in position for another.

And now, he’s doing it again. “How many times, my friends, have the pundits written off the McCain campaign?” he asked a crowd in Wisconsin on October 10. “We’re gonna fool ‘em again. We’re gonna fool ‘em one more time.” A few days later, in Virginia, McCain described the forces arrayed against him and declared, “My friends, we’ve got them just where we want them.” People in the audience laughed. But in some sense, deep inside, McCain meant it.

From National Review John McCain Against the Wind

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McCain the King of the Comeback

McCain Good for Business and Good for the Economy

Often times pro business even pro small business policies are looked upon with disdain as can be seen in Senator Obama recently comments criticizing Senator McCain for caring more about Wall Street than Main Street. However, this is a myopic view of the economy. Pro business policies create jobs, pro business policies help grow the economy. Putting the breaks on an already sagging economy with increased taxes does nothing for the American worker exept make life harder. CNBC notes that small business owners recognize that McCain Understands Small Business Owners

The following is a statement from American Small Business League (ASBL) President Lloyd Chapman: One look at Senator John McCain's website will tell you, this is a man that knows and cares about America's 27 million small businesses. He knows 56 percent of all Americans work for small businesses. John McCain is a small business guy through and through.

Time also reported on the 300+ professional economists that back McCain. Conversely the Union Leader disusses how Senator Obama's tax plan does not add up in their article It doesn't compute: Obama's tax plan a ruse.

Numerous organizations, including the Associated Press, have noted that Obama's proposals spend hundreds of millions of dollars more than his tax hikes raise. What is less well known is that Obama's tax plan itself sends out of Washington far more than it brings in. Obama's campaign twice admits that in the wording of the tax plan.

According to the plan, "his tax relief for middle-class families is larger than the revenue raised by his tax changes for families over $250,000." That sounds like he's giving a net tax cut. But much of what he calls "tax cuts" are actually cash payments to low- and middle-income Americans. Ultimately, he sends out of Washington hundreds of billions of dollars more than it takes in.

In other words, Obama promises more in benefits to low- and middle-income Americans than his plan can finance with his tax hikes on "families" making more than $250,000 a year. And note the word, "families." Even though Obama says that no "family" making less than $250,000 a year will see a tax increase, in fact his plan raises taxes on individuals making $200,000 a year or more.

The bottom line is that Obama is not being honest about his tax and spending plans. It is impossible -- impossible! -- for him to finance his giveaways by taxing only those making $250,000 or more. He will have to raise taxes substantially on people making much, much less than that.

Senator Obama's plans to "spread the wealth" are anti-growth measures done in the name of fairness. However, there is nothing fair about halting economic growth. There is also nothing fair about punishing success.

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McCain Good for Business and Good for the Economy

Are These the McCain/Palin Supporters That The Media Is So Scared Of?

During the last debate Senator McCain stuck up for his supporters who attend his rallies and town halls. It struck me as sweet, but unnecessary. If McCain supporters are discouraged by being talked down to, or called names by the media or others we'd all be a fetal position by now. However, having attended a McCain rally and a Palin rally in the last two weeks, it is evident that the media has done a hatchet job in describing these crowds. First, any threat or vile language is inappropriate particularly at event of this size; and I heard none at either. In fact quite the opposite was true. People were extremely friendly courteous and well-behaved. In line at the Palin rally a fellow said, "I think this must be the nicest line I've ever been in."

Yet two incidents in particular stand out as possibly why Senator McCain felt compelled to stick up for his supporters. First, at the Palin rally the crowd chanted on and off 'Sa-rah, Sa-rah' for close to an hour prior to Governor Palin arriving. After one of these chants had stopped a little girl maybe five or six years who likely has autism or down syndrome was standing by a partition started quietly chanting on her own 'Sa-rah, Sa-rah' bringing a big smile to everyone within earshot.

At the McCain rally some volunteers who had made a number of calls or knocked on a number doors the prior weekend were allowed to go backstage and meet Senator McCain as he came off stage. As we stood in a line a cute little curly haired girl standing with her mother, who had been carrying a teddy bear backpack around, lit up as Senator McCain approached. After taking a group picture Senator McCain said, "there's my girl" and the little girl ran up to him and threw her arms around him as he bent down to give her a hug. After talking to him and giving him another hug, the little girl had tears in her eyes she was so happy to see him. It didn't dawn on me till later, but I believe this little girl during the primaries had saved up her allowance for several weeks to give to the campaign because she had heard they needed money.

Now I don't expect the media to report on cute kids that attend McCain/Palin rallies, and I don't expect reports on good behavior, but it would be nice if the media didn't paint everyone with the same brush. Bad behavior is bad behavior, and there is no excuse for shouting inappropriate remarks particularly in a crowed arena. However, assuming that all crowds at all McCain/Palin events either think or act as a very few actually do is misleading and inappropriate. It is also another example of the media campaigning for their favorite candidate by essentially denouncing McCain supporters as a hostile and angry mob. They have cameras at these events, and they know what they are reporting is false.

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Are These the McCain/Palin Supporters That The Media Is So Scared Of?

Biden Says Obama Will Be Tested With A ‘Major International Crisis’

Barack Obama will need help in a crisis, says Joe Biden from Times Online UK...

Joe Biden, the Democratic vice-presidential nominee, has told Americans to expect a “major international crisis” that will present an early test of a Barack Obama administration.

His comments were seized upon by the Republican campaign yesterday to raise fresh doubts about the prepared-ness of Mr Obama to be commander-in-chief.

Speaking at a fundraiser in Seattle on Sunday night, Mr Biden said: “Mark my words, it will not be six months before the world tests Barack Obama like they did John Kennedy. The world is looking. We’re about to elect a brilliant 47-year-old senator president of the United States of America. Remember I said it standing here . . . we’re gonna have an international crisis, a generated crisis, to test the mettle of this guy.”

He cited Russia and the Middle East as possible places that may cause problems, as well as the border between Afghanistan and Pakistan – “crawling with al-Qaeda” – as being of particular concern.

Mr Obama would need help and support, Mr Biden suggested, “because it’s not gonna be apparent, initially, that we’re right.” He then spotted the media in the room, “I probably shouldn’t have said all this because it dawned on me that the press is here.”

Now why would anyone vote for Barack Obama when his own VP states that a vote for Obama is a vote for an international crisis? Why would anyone want to be a part of a ticket that one believes will lead the country to crisis? What an unbelievable statement. The only time a time camera falls on Senator Biden at this point is when he is trying to pull his foot out of his mouth. However, this is beyond a gaffe; this is disturbing. It appears Senator Biden sees Senator Obama as weak. It appears that Senator Biden, is not confident in Senator Obama's ability to handle a crisis, and it appears that Senator Biden would prefer a "major international crisis" that a Republican president.

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Biden Says Obama Will Be Tested With A ‘Major International Crisis’

Heeeere's Johnny...

Who can make both Senator Clinton and Senator Obama roll with laughter? ...John McCain at the Albert E. Smith Dinner.

Video picks up at 2:38

Oh please, please, please, let this be a sign that McCain will be McCain in the last three weeks of this election.

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Here's Johnny...

Are You Purple?

The McCain campaign has focussed on Independents and Democrats with their Citizens for McCain group. They have even set up an online phone bank specifically for Independents and Democrats. If you are Independent or Democrat McCain supporter this is a great way to help the campaign. Phone calls are instrumental in bringing in votes and getting supporters out to polls. Just a few (or more) a day can have an impact.

Daytime Calls Phone Bank 10:00AM -6:00PM (EST):

Evening and Weekend Calls Phone Bank 6:00PM -9:00PM (EST):

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If you aren't an Independent, but still want to make phone calls from home - www.JohnMcCain.com/PhoneBank

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Are You Purple?