Robert Reich: Opening Positions on the Cliff Deal: Deja Vu All Over Again

[marmar]

Opening Positions on the Cliff Deal: Deja Vu All Over Again
Thursday, November 29, 2012


So the bidding has begun.

According to the Wall Street Journal (which got the information from GOP leaders), the President’s opening bid to Republicans is:

— $1.6 trillion in additional tax revenues over the next decade, from limiting tax deductions on the wealthy and raising tax rates on incomes over $250,000 (although those rates don’t have to rise as high as the top marginal rates under Bill Clinton)

— $50 billion in added economic stimulus next year

— A one-year postponement of pending spending cuts in defense and domestic programs

— $400 billion in savings over the decade from Medicare and other entitlement programs (the same number contained in the President’s 2013 budget proposal, submitted before the election).

— Authority to raise the debt limit without congressional approval.

The $50 billion in added stimulus is welcome. We need more spending in the short term in order to keep the recovery going, particularly in light of economic contractions in Europe and Japan, and slowdowns in China and India.

But by signaling its willingness not to raise top rates as high as they were under Clinton and to cut some $400 billion from projected increases in Medicare and other entitlement spending, the White House has ceded important ground. ......................(more)

The complete piece is at: http://robertreich.org/post/36839197826

[ProSense]

1. Reich needs to stop reading the WSJ if

he can't cut through unsubstantiated bullshit claims. The WSJ is shilling for the GOP, pushing a meme, and Reich focuses on the silliest claim in the piece.

Facts:

The White House formally proposes to increase tax revenues by $1.6 trillion over 10 years by increasing top marginal income tax rates and taxes on both capital gains and dividends, and by limiting tax deductions for top earners, according to Republicans.

http://tpmdc.talkingpointsmemo.com/2012/11/gop-rejects-white-house-opening-budget-bid.php

Obama to GOP: I’m done negotiating with myself
http://www.democraticunderground.com/1251256816

Republicans have no friggin leverage.

[pipoman]

3. Reich is a 1%er, therefore the WSJ is his bible..

Oh, and he is also a traitor to US labor.

[grahamhgreen]

6. As a President who won with a mandate, he does not have to give away anything. Revenues only

is a better starting position.

In fact, we're better off calling the R's Fiscal Bluff, and negotiating afterwards.

[xchrom]

2. du rec. nt

[PETRUS]

4. K&R

[Faryn Balyncd]

5. "It’s as if the election never occurred"