Friday, September 19, 2008

McCain, you are no outsider

I was listening to McCain's speech on CNN today. One of his arguments regarding our current economic crisis is that businesses were taxed second highest in the world. Oh, compared to when? By the time of the Reagan revolution, businesses were paying upward of 90% in taxes. Businesses were managing to be quite profitable despite high taxes and were also technological leaders. After Reagan began subscribing to supply-side economics, the tax rates were reduced to 35%. The tax rates for those of lower income were actually increased. Senator McCain was certainly in office when supply side economics were being implemented. He didn't exactly oppose the lowered taxes on businesses as "too high" at the time. But, he does now. He was also part of the deregulation mania that caused mergers of businesses and bankruptcies, junk bonds and ultimately S&L bailouts.

You would think that after 26 years in the Senate, McCain would have learned something. Especially as it involved the S&L fiasco. No actually, as confirmed by Robert Scheer and CNN McCain continued to support the sort of economic philosophy that has now led to our current financial mess. Would that be an apt description of insanity? McCain on the campaign trail ranting about the greed and corruption on Wall Street, but wishing to fuel greed and corruption by reducing corporate taxes. Oh, and during the time of reduced corporate taxes, we also saw global trade that included outsourcing of American jobs. McCain in the Senate said nothing about it. But the Democrats most certainly had. McCain on the campaign trail now sounds exactly the same "socialist" theme that the Democrats were once accused of, "the common good," "the public interest." Attacks Obama for once having on his campaign staff a former CEO of Freddie Mac. But guess what CEO was on his own staff and said that McCain could not run a business. McCain on Obama, that he was gaming the system. McCain's 26 years in Congress, he is already an old hand at doing so.

One last issue. McCain promises all of these tax cuts to working families. He plans on raising tax credits to parents of young children upwards of 7,000 dollars. Where will he get the money to put working families on welfare? I know that right now, we are suffering from a massive deficit as much as we are facing an economic crises. McCain's supply-side plans are totally out of touch with reality.

1 comment:

Dogwalkmusings said...

Let's see, how many billions can be reallocated if we end the war in Iraq?