I know, some of you will hate this post because you adhere to the same “never ever ever raise taxes” philosophy. Believe me, I’m very much against raising taxes as a solution to all of our problems. It’s too simplistic, not as easy to implement and there are high costs to raising taxes which are rarely discussed by the left. That being said, I’ve also been discussing the fiscal cliff. I applaud Obama for also taking a very strong stand. I HATE when politicians make a promise like the one many Republicans made to Grover Norquist. I mean honestly.. what happens if all democrats decide to never again sign a bill that doesn’t include taxes increases for the wealthy while republicans pledge to never agree to a tax increase. Nothing would ever get done. And while other things did end up happening, in terms of budgets, deficits and addressing the main issues, that is exactly what is happening.
So Why Do I Applaud Obama For Taking This Stand?
I’m contradicting myself right? In a way, yes. But I also think that doing this is the only way to force both parties to make some type of compromise. I just read an interesting article on salon (“Is it game over for Grover Norquist”). That is probably exaggerated. Low taxes make a ton of sense, the rates are too high in the US and I don’t see an “anti-taxes increase, smaller government going away anytime soon. That being said, if we can at least get rid of a ridiculous idea such as a “pledge”, then we’ll at least have a possibility that both parties can work together for a better compromise. When both Democrats and Republicans have such strong stances that they’ll be seen as “weak” no matter how small the compromise, there is no chance that things will actually get settled.
For one, I hope that both parties can come to a compromise in order to resolve the fiscal cliff, ideally well ahead of year-end (though I’m not holding my breath on that). I’m hoping to see:
-massive spending cuts
-reduced tax rates across the board
-closing loopholes that will result in net increase in revenues
Am I too optimistic? Probably….Unfortunately! How Do You Think This Will End Up?