Saying One Thing, Doing Another
On Wednesday, the Tax Policy Center released a report
finding large
disparities between Sen. John McCain's (R-AZ) public
economic
proposals and his advisers' private
assurances. After
comparing McCain's public economic policies
with
the "measured options outlined by his campaign," the center concluded
that McCain's public proposals "would
cost an additional $2.8
trillion over ten
years" above what the campaign's
stated policies would cost. Responding to the report, Douglas
Holtz-Eakin, McCain's
senior economic
adviser, argued that the proposals McCain makes in town halls do
not
constitute
official policy. But the
differences between McCain's rhetoric and
his policies are stark. While McCain's
advisers suggest that the senator
would "patch" the alternative minimum tax (AMT),
McCain promises to completely repeal
it. While McCain publicly
advertises a broad
expansion "of
expensing investments," his economic consultants privately assure
budget analysts that the senator would allow
expensing for "only
to three-and five-year equipment and only
on a
temporary basis." Overall,
McCain's public economic
pronouncements suggest that a McCain administration would
provide even larger tax cuts for
the richest
Americans,
increase the national debt, and reduce
access to
health insurance. McCain
"is making diametrically
opposed policy promises to
different audiences at the same time,"
Robert Gordon and James Kvaal of the Center for American Progress
observed recently.
MORE
TAX CUTS FOR THE RICH: In a
recent interview with Forbes, Holtz-Eakin conceded that the senator's
tax plan is a pro-business proposal that is "pretty
much a
non-event
on
the personal side," saying
it is "a package for American
companies to manufacture and Americans to sell globally." Indeed, the
Tax Policy Center concludes that McCain's plan gives
"virtually
no"
or "very
modest benefits" to the bottom
80 percent of taxpayers. While "some lower-income taxpayers benefit
from the
large cuts in corporate income," most of the benefit will "go
to those
at the top." On top of that,
McCain's public pronouncements would offer an average tax
cut that is "almost double
the $1,230 tax cut under the
economic
advisers' version."Moreover, by "repealing rather than simply reducing
the
AMT" and allowing Americans to
file taxes in an alternative system, McCain's plan allows
"those
in the top
tax brackets" to "benefit
most." Thus, the richest 0.1 percent
of Americans earn "twice
the tax cut that they would get
under the more modest plan outlined by Senator McCain's
economic advisers," the center states.
INCREASE THE NATIONAL DEBT: Since
McCain's public promises costs an additional $2.8 trillion, his
policies
"would
add enormously to the public debt"
and force a McCain administration to undertake "a
radical and unprecedented downsizing of government"
to balance
the budget by 2013. McCain's
public promise to repeal the
AMT would "reduce
revenues by about $390 billion." His pledge to allow
expensing of "all machinery and equipment investments would
cost
about
$740 billion more than the temporary and limited proposal" advocated by
his advisers, and his proposed alternative tax system would "reduce
tax
revenues by almost $1.2
trillion over ten years."
MORE
AMERICANS UNINSURED: While
it's unclear
if McCain's health care plan -- which taxes
workers'
health benefits and creates new health insurance tax credits -- would
expose
health benefits to both
income and payroll taxes or just
to income
taxes, experts agree that McCain's radical health care prescription
would either result in a tax
increase for millions of
middle-class
families or "blow
a hole" in the national budget.
The Tax Policy Center
analysis concludes that McCain's health care proposal would
cost $1.3
trillion over 10 years
and eventually force every
household
to pay
higher taxes on their health insurance. McCain's plan would undermine
employer-based coverage and
leave 55
million Americans without any
kind
of health insurance. According to the report, by 2013, 16
million
Americans would lose the health
benefits they get from employers.
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"The House voted Thursday to triple financing to fight AIDS, malaria and tuberculosis around the world, giving new life and new punch to a program credited with saving or prolonging millions of lives in Africa alone."
THINK PROGRESS: Fox News's Bill O'Reilly claims "MoveOn is the new Klan" and its supporters are "Koolaid drinking, zombie followers."
WONK ROOM: Teamsters join fight for good jobs, clean air, clean future.
YEAS & NAYS: Grover Norquist claims the time is right to "re-start the conversation about getting Reagan on the $10 bill."
TALKING POINTS MEMO: Disgraced former General Services Administration head Lurita Doan returns as a commentator for Federal News Radio.
CALIFORNIA: State workers backlash after Gov. Arnold Schwarzenegger (R) threatens to cut salaries to minimum wage levels.
LOUISIANA: Recent oil tanker spill is the worst in the area in nearly a decade.
HEALTH CARE: "States continue to have 'many major gaps' in their readiness for an influenza pandemic, the Government Accountability Office reported this week."
[The
Arctic National Wildlife
Refuge] looks even more like Prudhoe Bay; a snowy, barren wasteland."
-- CNN's Glenn Beck, 7/23/08
VERSUS
"[Parts of the refuge contain] a greater degree of ecological diversity
than any other similar sized area of Alaska's north slope."
-- U.S. Fish
and
Wildlife Service








