Necronic
Staff member
Dunno how many people watched/listened to this last night. I caught most of it on my drive home.
There were a couple of really good lines in there that should have some universal appeal to the voters:
"....maybe some of you have decided that those differences are so great that we can only resolve them at the ballot box. But know this: The next election is 14 months away. And the people who sent us here -- the people who hired us to work for them -- they don’t have the luxury of waiting 14 months. Some of them are living week to week, paycheck to paycheck, even day to day. They need help, and they need it now."
"Building a world-class transportation system is part of what made us a economic superpower. And now we’re going to sit back and watch China build newer airports and faster railroads? At a time when millions of unemployed construction workers could build them right here in America? "
Then there's the stuff that's going to get the Republican's blood rising:
"I’m also well aware that there are many Republicans who don’t believe we should raise taxes on those who are most fortunate and can best afford it"
Really the mistake there was to use the word "fortunate" because it follows the implication that the rich are rich because they are lucky, which will never sit well with republicans (or myself for that matter).
Then there were some REALLY dumb things said (seriously his speech writer must have downs syndrome):
" It will be paid for. And here’s how.
The agreement we passed in July will cut government spending by about $1 trillion over the next 10 years. It also charges this Congress to come up with an additional $1.5 trillion in savings by Christmas. Tonight, I am asking you to increase that amount so that it covers the full cost of the American Jobs Act"
This is a phenominally stupid thing to have said. Don't worry, it's going to be paid for, because I told someone else to figure it out.....
---------------
Anyways, that stuff aside. Let's talk about the meat.
Total Cost : ~500 bil. Close to the cost of the last stimulus package.
Tax Cuts: ~250bil
Spending: ~250bil
Good to see it split down the middle like that, but these days that's not enough. Consider the deficit reduction package that was like 4 to 1 cutting spending to increasing taxes. And that couldn't pass.
Tax Cuts: I disagree with most of these.
Employee Payroll Taxes (~70 bil) - 50% reduction in employee payroll taxes. Will increase income for lots of americans by some marginal amount. Generally I disagree with this. To stimulate spending from consumers you can't slowly eke up their income like an old man getting into water. It needs to be dramatic (like going from unemployed to employed.)
Moreover, I don't think increasing american incomes does a ton for the economy as a lot of what they buy is imported from other countries
Employer Payrol Tax cut (~30 bil?) - large tax cut in employer payroll taxes. Good idea imho. Companies are more mechanical and logical with their spending than individuals. As opposed to individuals, companies WILL notice the increase in revenue and will adjust spending appropriately.
Numerous tax breaks for hiring - I don't like any of this tbh. This stuff never becomes a deciding factor for hiring, as it amounts to a very small % of the cost of a new hire. Moreover, adding additional exceptions to the tax system goes directly against cleaning up the tax code (another goal)
Cleaning up the tax code - This I love. I don't think it's necessary to increase taxes on ANYONE. However if you simply cleaned up the tax code and removed the byzantine spiderweb of exemptions that exist in it you reduce the costs of paying taxes, you reduce the costs of collecting taxes, and you eliminate stuff like billionaire's paying 17% income tax (changing short term/long term capital gains loopholes.)
Spending - Some of this I liked, some of it I didn't. The main thing I dislike about all of it is that we barely made ANY headway on infrastructure during the stimulus package. Why would this be different?
Infrastructure - Our country DESPERATELY needs a new investment in infrastructure. And, while I think an adrenaline shot to the heart helps in the short run, it doesn't matter if we can't figure out a way to maintain it for the long run.
Teachers - Yeah we need to hire them back and improve spending on public education.
Then there was other stuff
Unions - I will never agree with Obama about Unions. He's from Chicago, I'm from Texas, what do you want. Screw unions. All of them.
Regulations - I liked his statement on removing unnecessary ones but understanding some are necessary. That said it's still a massive argument about what's necessary and what's not. I'm generally pro regulation, but at the same time a lot of it is idiotic.
----------------
Anyways, overall it just looks like a speech, I doubt anything will come of it. The only thing that perked my ears up was the tax reform, but I've heard it all before.
What did you guys think?
There were a couple of really good lines in there that should have some universal appeal to the voters:
"....maybe some of you have decided that those differences are so great that we can only resolve them at the ballot box. But know this: The next election is 14 months away. And the people who sent us here -- the people who hired us to work for them -- they don’t have the luxury of waiting 14 months. Some of them are living week to week, paycheck to paycheck, even day to day. They need help, and they need it now."
"Building a world-class transportation system is part of what made us a economic superpower. And now we’re going to sit back and watch China build newer airports and faster railroads? At a time when millions of unemployed construction workers could build them right here in America? "
Then there's the stuff that's going to get the Republican's blood rising:
"I’m also well aware that there are many Republicans who don’t believe we should raise taxes on those who are most fortunate and can best afford it"
Really the mistake there was to use the word "fortunate" because it follows the implication that the rich are rich because they are lucky, which will never sit well with republicans (or myself for that matter).
Then there were some REALLY dumb things said (seriously his speech writer must have downs syndrome):
" It will be paid for. And here’s how.
The agreement we passed in July will cut government spending by about $1 trillion over the next 10 years. It also charges this Congress to come up with an additional $1.5 trillion in savings by Christmas. Tonight, I am asking you to increase that amount so that it covers the full cost of the American Jobs Act"
This is a phenominally stupid thing to have said. Don't worry, it's going to be paid for, because I told someone else to figure it out.....
---------------
Anyways, that stuff aside. Let's talk about the meat.
Total Cost : ~500 bil. Close to the cost of the last stimulus package.
Tax Cuts: ~250bil
Spending: ~250bil
Good to see it split down the middle like that, but these days that's not enough. Consider the deficit reduction package that was like 4 to 1 cutting spending to increasing taxes. And that couldn't pass.
Tax Cuts: I disagree with most of these.
Employee Payroll Taxes (~70 bil) - 50% reduction in employee payroll taxes. Will increase income for lots of americans by some marginal amount. Generally I disagree with this. To stimulate spending from consumers you can't slowly eke up their income like an old man getting into water. It needs to be dramatic (like going from unemployed to employed.)
Moreover, I don't think increasing american incomes does a ton for the economy as a lot of what they buy is imported from other countries
Employer Payrol Tax cut (~30 bil?) - large tax cut in employer payroll taxes. Good idea imho. Companies are more mechanical and logical with their spending than individuals. As opposed to individuals, companies WILL notice the increase in revenue and will adjust spending appropriately.
Numerous tax breaks for hiring - I don't like any of this tbh. This stuff never becomes a deciding factor for hiring, as it amounts to a very small % of the cost of a new hire. Moreover, adding additional exceptions to the tax system goes directly against cleaning up the tax code (another goal)
Cleaning up the tax code - This I love. I don't think it's necessary to increase taxes on ANYONE. However if you simply cleaned up the tax code and removed the byzantine spiderweb of exemptions that exist in it you reduce the costs of paying taxes, you reduce the costs of collecting taxes, and you eliminate stuff like billionaire's paying 17% income tax (changing short term/long term capital gains loopholes.)
Spending - Some of this I liked, some of it I didn't. The main thing I dislike about all of it is that we barely made ANY headway on infrastructure during the stimulus package. Why would this be different?
Infrastructure - Our country DESPERATELY needs a new investment in infrastructure. And, while I think an adrenaline shot to the heart helps in the short run, it doesn't matter if we can't figure out a way to maintain it for the long run.
Teachers - Yeah we need to hire them back and improve spending on public education.
Then there was other stuff
Unions - I will never agree with Obama about Unions. He's from Chicago, I'm from Texas, what do you want. Screw unions. All of them.
Regulations - I liked his statement on removing unnecessary ones but understanding some are necessary. That said it's still a massive argument about what's necessary and what's not. I'm generally pro regulation, but at the same time a lot of it is idiotic.
----------------
Anyways, overall it just looks like a speech, I doubt anything will come of it. The only thing that perked my ears up was the tax reform, but I've heard it all before.
What did you guys think?
(back to old school baby!)
