Austerity freaks demand huge government cuts in spending. But where are the jobs?!
Apparently it's no longer the Age of Acquarius, dear flower children, but the Age of Austerity. The Morlocks are ravaging the Eloi, while unemployment continues to climb, going back up to 9.1%. And all our elected officials discuss is deficit cutting. Are they all austerity freaks?
Before the last election, the Republican mantra was, "Where are the jobs?" Now that Republicans have gained control of the House, have you seen one jobs bill?
Republicans want to cut over a couple of trillion dollars, or more, from the Federal budget during the worse recession ever since the Great Depression. Is this the jobs bill that we all have been awaiting with baited breath? The laying off of millions of additional Americans at the Federal, state, and local governmental levels? Are they trashing the economy?
Democrats are no better either, wielding axes and sledge hammers at any possible economic recovery. President Obama appointed a Deficit Commission with Medicare "on the table". And Vice President Biden stated recently that the administration and the Deficit Commission has already agreed to $1 trillion in cuts from the Federal budget; however, he also stated that no revenue increases had been agreed to, adding that would be the topic of discussion after budget cuts had been finalized. Isn't that putting the cart before the horse? Shouldn't taxes on the wealthy and corporations be included in these budget balancing acrobatics?
Corporate and individual effective tax rates are at an all-time 60-year low. Recall that when we increased taxes under President Clinton we gained 22 million jobs while when we decreased taxes under President Bush, we lost 8 million jobs. If the American corporations wish to continue sitting on $1.6 trillion instead of investing it here in the United States economy and creating the jobs that our country so desperately needs, then perhaps it's time to raise taxes on these corporations and/or their major shareholders and create the governmental revenues to finance a bold jobs bill. With Americans getting jobs, and seeing the economy reeving up, consumer spending would increase, driving up demand for manufacturing and services, and culminating in that economy recovery we have been patiently awaiting for three years!
This is essentially the budget plan proposed by the Progressive Caucus: by cutting the incredibly bloated and pork filled massive defense budget, and taxing primarily the rich and closing the loopholes and subsidies to corporations, we would provide the additional revenues required to finance bold fiscal policies to create jobs, since Corporate America does not wish to do so. And with the future increases in tax revenues from the newly employed American workers, we can then apply them to deficit reduction.
Hey, if Corporate America does not wish to invest in America, then perhaps it's time we take their monies and do it for them. Consider it an act of patriotism.
The Barefoot Accountant—is a Certified Public Accountant, Certified QuickBooks ProAdvisor, operating an accounting, tax, and QuickBooks consulting firm in Berlin, Connecticut, Accountants CPA Hartford, Connecticut, LLC. Bill has instructed graduate and undergraduate courses in Accounting, Auditing, and other subjects at the University of Hartford, Central Connecticut State University, Hartford State Technical College, and Purdue University. He also taught GMAT and CPA Exam Review Classes at the Stanley H. Kaplan Educational Center and at Person-Wolinsky, and is certified to teach trade-related subjects at Connecticut Vocational Technical Schools. His articles on tax and accounting have been published in several professional journals as well as on several accounting websites. William was born and raised in New Britain, Connecticut, and served on the City's Board of Finance and Taxation as well as its City Plan Commission. Bill is a crazed animal lover, feeding birds, squirrels, chipmunks, skunks, possums, stray cats, and any two-legged or four-legged critter traversing through his yard. His backyard in Berlin, Connecticut has been certified as a habitat suitable for wildlife by the National Wildlife Federation.
Bill also writes an Accounting, QuickBooks, and Tax blog: Accounting, QuickBooks, and Taxes by the Barefoot Accountant. For entertaining articles, please see his listing at The Amazing Brighenti.