Friday, September 24, 2010

Commucrats Playing A Game of Chicken Over Tax Cuts

Last Sunday after house minority leader John Boehner stated if he had to, he would settle for tax cuts for all but those making $250,000, Mitch McConnell quickly chided him into retracting his statement on the republican position. Boehner got suckered into an Obama trap on that one, it was a damned if you do or damned if you don't political moment. When he said he would accept a half a loaf, Boehner was thinking something for the people is better than none at all. Even that way of thinking does little in appreciating the full reality of the situation.

The commucrats took Boehner's first comment and tried to use it as a way to divide the right. After Boehner retracted his comment, the commucrats blared it all over the landscape the republicans were only looking out for the top earners. Boehner got caught in the same soft on big business box, Joe Barton fell into when he said Obama's $20 Billion demand from BP was shakedown. Funny it was Boehner doing the Barton chiding that time, too bad Boehner wasn't following his own advice.

The current leftist leadership say they will not take a vote on extending the expiring Bush tax cuts until after the election. This is the beginning of the game of chicken. Most Americans want the tax cuts extended, Obama doesn't want any extension actually, but will be forced to by the domestic commucrats that are rebelling. Personally it's my opinion, more would be done by Obama  to collapse the economy faster if not for the Chinese. It's not in China's interest while they are selling off of our treasuries. A sudden collapse would cause world wide economic chaos. Obama is being forced to do a controlled demolition, picture a major building imploding on itself. Another factor, Obama obviously has come to the political realization that without extending the cuts for the under $250,000 group the left is politically finished short of an outright seizure of power. I don't think Obama is ready for that gamble.

The left will try to sell the promise of a post election partial tax cut to the masses in hopes of saving some of their D.C. jobs. It may gain them back some votes, from the same dupable short sighted ones who voted for them the last time.

When Boehner made his comment earlier, he had already figured most of this out, Obama will begrudgingly sign off on a partial tax cut strictly for political reasons, but anything else will be vetoed. Boehner also knows how critical to the economy, extending the tax cuts to those making above $250,000 will be for any type of real recovery. Without the jobs this top group generates, the economy will continue to stagnate and Obama will continue his wrecking job.

Obama could care less about a healthy economy, after the election this issue will morph into two political footballs. Boehner and crew will be painted as the new problem. Bush gets blamed for everything bad economy pre 11/2010 Boehner everything bad economy post 11/2010.

The debate in the lame duck months will be "do the rich really generate the jobs?" If there are enough senate blue dogs to join with the republicans to over ride a veto of a full extension (67 votes are needed) then we can get this economy going again. (That would need to be 26 blue dogs out of 59. It won't happen.) If not the Bush cuts for those making below $250,000, may become a moot point anyway. After the next round of layoffs right at year end, when Business finds out what the new year will bring, even a zero tax rate won't help the out of work, working man. Think of it as Obama's way of saying Merry Christmas 2010 America.


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