President Obama’s plan to fix the deficit and national debt? Call for more tax revenue:
President Obama insisted Sunday that additional tax revenue will need to be part of future deficit deals, but said hikes in tax rates may not be necessary.
In a pre-Super Bowl interview with CBS, the president outlined his vision for further deficit reduction, which he said was essential, but in a way that preserves the government’s ability to continue spending on key programs.
He also emphasized that the seemingly continuous stream of Washington standoffs was wreaking havoc on confidence in the U.S. economy.
Republicans have insisted that the revenue side of the deficit equation was dealt with during “fiscal cliff” talks, which resulted in a compromise that saw rates climb on the nation’s top earners. But Obama flatly rejected the notion that future talks would explicitly focus on spending.
“There is no doubt we need additional revenue, coupled with smart spending reductions, in order to bring down our deficit,” he said.
Uh, no, Mr. President. What we need is not additional revenue; what we need is to reduce spending across the board. We need to cut defense spending, which is the highest in the world. We need to cut and reform entitlements. We need to drastically scale back federal education spending, which has done absolutely nothing to educate our children. We need to acknowledge that the federal War on Poverty has been useless and reform our welfare system. We need to end foreign aid. We need to cut back on environmental spending, since that has done nothing useful. What we do not need is “additional revenue.”
Additional revenue comes from one place: the American worker. It will only come out of the pocket of hardworking Americans who are already struggling to put food on the table, clothes on their backs, and a roof over their heads. If you think the “rich” or “corporations” will pay additional tax increases, you’re crazy. They will find a way to pass it off to the poor. That’s how the game works.
You don’t fix a budget problem by trying to increase revenue. In any other place, you can’t control how much you bring in. Sure, you can try to get a second job or boost sales, but ultimately that depends on someone else—an employer or a customer—to decide to hire you or buy your product. You can’t force them to do that. Only with government—or the mob—can you force someone to hand over money so you can fix your budget.
You don’t cure a gambling debt by trying to gamble more, do you? Then neither should government try to cure a spending debt by spending more. President Obama may think he can, but any attempt to raise taxes will only spur more spending. And, with the economy contracting, where does he think he’ll get that additional revenue? It’s time to rebuke these tax-and-spend policies and go back to a government that budgets like ordinary Americans and lives within its means.