I already explained, immediately following Obama's speech, why his “grand bargain” on corporate taxes was not a good deal because of all the hidden taxes on new investment and international competitiveness. But I also had a chance to dissect the President’s overall track record on the economy.
The President is hoping that these moves will increase revenues enough to allow the creation of millions of government “shovel ready” jobs. So. . . Get the shovels out: Our economy’s grave isn’t going to dig itself.
It's that time of year again, time for fresh starts, optimism for the future, and New Year's resolutions. Unfortunately, there's nothing fresh, optimistic, or resolute coming out of our nation's capital these days. After a months' long game of political chicken, Congress managed to maneuver its way around the worst elements of the dreaded "fiscal cliff" at the 11th hour. What they failed miserably to demonstrate is an ability to address America's dire fiscal situation in a serious manner.
The idea behind a grand bargain to get the federal budget deficit under control is a simple one. Republicans agree to tax increases and Democrats agree to spending cuts.
Politics, they say, is the art of compromise. You give something to get something. Everyone ends up with half a loaf. You may not get everything you want, but everyone comes out ahead.