Category Archives: President Obama

Mitch McConnell goes after President Obama

Published on Jun 15, 2012 by

cpan
AEI Conference
June 15, 2012

_____________

I listened to Senator McConnell whole speech and was alarmed at what President Obama has been up to.

Tray Smith

June 16, 2012 at 1:50 pm

Senate Minority Leader Mitch McConnell (R-KY) said Friday that the Obama administration is pursuing restrictions on political speech through whatever means possible, including bypassing Congress and the federal judiciary.

“What they haven’t been able to achieve through the courts or Congress, they’re already attempting to achieve through regulations,” McConnell said in a speech at the American Enterprise Institute.

He quoted Obama campaign senior adviser David Axelrod’s comments from earlier this week in New York, where he expressed his hope that the Supreme Court’s landmark decision on campaign-finance reform in the Citizens United case could be overturned after the election.

“I hope that one of the things we can do, when we win this election, is use whatever tools are available, up to and including a Constitutional amendment, to turn this back,” Axelrod said.

McConnell went on to list several actions the administration has taken to curtail political speech:

McConnell said liberals have always faced an uphill climb in American politics, and as a result, many have resorted to “obscuring their true intent, pursuing through regulation and the courts what they can’t through legislation, or muzzling their critics.”

“My own view has always been that if you can’t convince people of the wisdom of your policies, then you should come up with some better arguments. But for all its vaunted tolerance, the political left has consistently demonstrated a militant intolerance for dissent,” he said. “The minute we allow ourselves to be convinced that some people stand outside the protections of the First Amendment, we’re all in trouble.”

Brantley and Obama want to go after the big bad wealthy again but they happen to be the job creators

President Obama and other politicians are advocating higher taxes, with a particular emphasis on class-warfare taxes targeting the so-called rich. This Center for Freedom and Prosperity Foundation video explains why fiscal policy based on hate and envy is fundamentally misguided. For more information please visit our web page: www.freedomandprosperity.org.

_________________

President Obama really does stick to his view that the wealthy need to rescue the rest of us on everything, but that view does not work. There are not enough rich people out there to solve our budget woes. Actually what has happened in the past when the government wants more money it starts off going after the rich, but when that does not bring in much money then the only alternative is to go after the rest of us.

Max Brantley argues on the Arkansas Times Blog that most of us are taxed too much so we must tax the rich more but that will not come close to bringing us to a balanced budget. However, it will destroy job creation.

The Millionaire Tax: Yet Another Job-Killing Tax Hike

By Curtis Dubay
October 11, 2011

Like the villain in a horror movie, the many-lived millionaire tax is once again back from the dead. Senate Majority Leader Harry Reid (D–NV) dusted off this economically frightening tax hike that has repeatedly failed to pass Congress to pay for President Obama’s jobs plan (American Jobs Act of 2011, S. 1660) after Senate Democrats rejected the tax hikes the President proposed to pay for his bill.

This is the third time in the past two years that congressional Democrats have proposed a millionaire tax. The first time it was a 5.4 percent surtax to pay for health care reform. The second time was in “the People’s Budget” released by the Congressional Progressive Caucus. It failed to garner much support either time.

If the third time is the charm for the millionaire tax to become law, the economy would suffer lasting damage and reduced international competitiveness. And American workers would bear the brunt of the pain.

Permanent Tax Hike on Job Creators

The millionaire’s tax would be a 5.6 percent surtax on incomes of married filers earning over $1 million starting on January 1, 2013. The surtax would kick in at $500,000 for individual filers, so it cannot be called a true millionaire tax. It would take the place of several tax hikes President Obama proposed to pay for his jobs plan, the biggest of which was capping the deductions of high-income earners.[1] It would raise approximately $450 billion over 10 years.

The millionaire surtax is contradictory to the stated aim of the President’s jobs plan, which is to create jobs. The tax hike would fall squarely on the very job creators that the President wants to add jobs and reduce their incentive to add new workers.

Taxpayers earning more than $1 million per year are investors and businesses that are directly responsible for creating jobs. Investors provide the capital to existing businesses and startups so they can expand and add new workers. Raising their taxes would deprive them of resources they could invest in promising businesses that are looking to add employees. Raising their tax rate would deter them from taking the risk to invest.

The President and his allies say often that only a few businesses would pay higher taxes under their soak-the-rich policies. But a recent study from President Obama’s own Treasury Department shows that 50 percent of the income earned by businesses that pay their taxes through the individual income tax code and employ workers would pay the millionaire tax.[2]

The millionaire tax is a direct blow to the pass-through businesses that employ the most workers. Higher taxes would deprive these important job creators of resources they could use to add new workers or pay their workers higher wages, and it would reduce their incentive for adding new workers. These impediments to economic growth and job creation would plague the economy permanently, while the questionable jobs policies the millionaire tax would pay for are temporary.

More Job Destruction

The millionaire surtax would also apply to capital gains and dividends. This would be yet another surtax on investment income, as Obamacare already applied an extra 3.8 percent tax. Combined with that surtax and the President’s policy of increasing the capital gains and dividends rate to 20 percent from the current 15 percent rate, the millionaire surtax would raise the total rate to 29.4 percent—a 96 percent increase over the current rate.

Higher capital gains taxes would further impede job creation because it would increase the cost of new capital for businesses looking to grow or replace worn-out capital. This would make it more expensive for businesses to buy the equipment, tools, and other things they need to employ more workers and make their current workers more productive. The end result would be fewer jobs and lower wages for American workers.

The President frequently calls his tax hike plans “tax reform.” But one of the goals of tax reform is to lower the cost of capital to improve economic growth and enhance job creation. Higher taxes on capital are opposed to the aims of true tax reform.

Highest Tax Rates in the World

The U.S. is generally regarded as a low-tax nation compared to other industrialized countries. This is one of the main factors that has allowed the U.S. economy to grow at a faster rate than other developed countries for decades and has made it the envy of the world. If the millionaire surtax becomes law, the U.S. would no longer enjoy the advantages of being a low-tax country.

After adding state and local income tax rates, the 39.6 percent top federal income tax rate long fought for by President Obama and his congressional allies, the higher Medicare surtax from Obamacare, and the new millionaire surtax, the average top marginal income tax rate in the U.S. would be 55 percent. A rate at that level would leave the average U.S. rate as the third highest among developed nations in the 30-member Organization for Economic Cooperation and Development (OECD). It would be behind only Sweden and Denmark.

Taxpayers in states with above-average top marginal income tax rates would compare even worse. In fact, taxpayers in Oregon, Hawaii, and New York would pay the highest tax rates in the developed world. Taxpayers in California, Iowa, New Jersey, Vermont, Maine, Maryland, Minnesota, Idaho, North Carolina, Wisconsin, and Ohio would pay higher rates than every developed country except Denmark.

Taxpayers in the nine states without state income taxes—and therefore with the lowest income tax rates in the U.S.—would still be taxed at a higher rate than in all but seven other developed countries. Their rates would be higher than traditional high-tax countries such as France, Germany, Italy, and Spain.

In the global race for investment and capital, the millionaire tax would make almost every other developed country more competitive than the U.S.

Real Reform

The millionaire tax would end up costing the U.S. economy more jobs than the President’s jobs plan it is supposed to pay for would ever create. It would ruin American competitiveness among other developed countries.

The President and his congressional allies are better off spending their time pursuing true tax reform, which would repair the tax base and lower marginal tax rates. That would mean dropping their class warfare policies for the good of the economy and the country.

Curtis S. Dubay is a Senior Analyst in Tax Policy in the Thomas A. Roe Institute for Economic Policy Studies at The Heritage Foundation.

Open letter to President Obama (Part 95)

Religious Liberty: Obamacare’s First Casualty

Uploaded by on Feb 22, 2012

http://blog.heritage.org/2012/02/22/morning-bell-religious-liberty-under-attack/ | The controversy over the Obama Administration’s anti-conscience mandate and the fight for religious liberty only serves to highlight the inherent flaws in Obamacare. This conflict is a natural result of the centralization laid out under Obamacare and will only continue until the law is repealed in full.

___________________________

President Obama c/o The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

Dear Mr. President,

I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.

Max Brantley on the Arkansas Times Blog on 3-6-12 again claimed that the Republicans will lose this debate with you on Obamacare and conscience. However, I don’t see how that is true and it clearly interferes unconstitutionally with the liberty of Americans.

David S. Addington

February 29, 2012 at 12:31 pm

Congress recognizes more each day that the Patient Protection and Affordable Care Act, known widely as the Obamacare statute, interferes unconstitutionally with the liberty of Americans.  From the Obamacare individual mandate to buy health insurance that awaits the action of the Supreme Court, to the Obamacare mandate that many religious hospitals, charities, and schools abandon the tenets of their faiths and include in their group health insurance for employees coverage of abortion-inducing drugs, contraception, and sterilization, Obamacare assaults the Constitution and American freedom.

Fortunately, Members of Congress and the American people are waking up to the need to repeal the Obamacare statute and move instead to market-based, patient-centered health care.  Action in Congress this week to defend religious liberty continues to highlight the need to repeal the Obamacare statute.

The Obama Administration continues to trample on religious liberty by applying the Obamacare statute to mandate that many religious institutions’ group health insurance for employees cover abortion-inducing drugs, contraceptives, and sterilization.  The Departments of Health and Human Services (HHS), the Treasury, and Labor published on February 15, 2012 final regulations that compel many religious hospitals, charities, and schools to abandon the tenets of their faiths and comply with that mandate beginning April 16, 2012, or pay fines for maintaining their religious faiths.  The final regulations did not include any changes to respect religious liberty that President Obama had led people to expect.

Although Secretary of HHS Sebelius has said that, for one year, she will simply not perform her duty to enforce the final regulations, her decision not to enforce the regulations temporarily as a matter of grace does not eliminate the mandate’s interference with religious liberty.  Indeed, her pronouncements reflect a failure to understand that religious liberty in America is an unalienable right with which our Creator has endowed us and a right that our Constitution’s First Amendment protects.  Our religious liberty does not arise from the discretion of the Federal Government to do Americans a “favor” and tolerate their religions.  Because President Obama and his agents continue to attack the constitutionally-guaranteed right of these religious institutions to free exercise of religion, Members of Congress are stepping forward to protect the Constitution.

Senator Roy Blunt (R-Missouri) has fought for religious liberty against the Obamacare assault.  He plans to offer this week Senate Amendment No. 1520 to S. 1813, the highway authorization bill, to protect the right to religious liberty against the Obamacare mandate.  The Blunt Amendment notes that, until the enactment of the Obamacare statute in 2010, “the Federal Government has not sought to impose specific coverage or care requirements that infringe on the rights of conscience . . . .”  The Blunt Amendment would override the Obamacare mandate that religious institutions provide coverage for abortion-inducing drugs, contraceptives, and sterilization when it is contrary to their faiths, allowing them to keep their faiths and provide health care coverage for their employees.

Senate Majority Leader Harry Reid (D-Nevada) has announced his intention to keep the Senate from voting on the Blunt Amendment by making a motion to “table” — that is, to refuse to consider — the Blunt Amendment.  Senator Reid said he considered the Blunt Amendment that  protects religious liberty to be a “distracting proposal.”  Senator Reid may treat legislation to protect religious liberty as a “distraction,” but hundreds of millions of Americans hold their right to free exercise of religion to be a precious freedom.

President Obama and Senator Reid can man the ramparts of Castle Obamacare against the people for only so long.  The American people want their liberty and they shall have it.  The Obamacare statute must go.

__________-

Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.

Sincerely,

Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com

“Feedback Friday” Letter to White House generated form letter response June 15, 2012 on Healthcare (part 8)

I have been writing President Obama letters and have not received a personal response yet.  (He reads 10 letters a day personally and responds to each of them.) However, I did receive a form letter in the form of an email on June 15, 2012. I don’t know which letter of mine generated this response so I have linked several of the letters I sent to him below with the email that I received. (May have been  these listed below 84.5, 84.8, 85, 85.2, 85.3, or 85.4) However, I think it was probably this one below:

President Obama c/o The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

Dear Mr. President,

I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.

I see a few problems with Obamacare. Although you promised that it would cover everyone,  Obamacare will not give everyone coverage!!! Also there are religious values that Obamacare would trangress. For instance, you promised Ben Nelson and other prolife members of Congress that these healthcare plans would not cover abortion.

I also anticipate a  drop in quality we will be seeing and it seems stupid to shove millions into an already bankrupt Medicaid system that will bankrupt Arkansas’ state government.

The real question is how efficient is the government versus the private market. Take your $50 lightbulb.

I’ve written about the government’s war on consumer-friendly light bulbs (and also similar attacks on working toilets and washing machines that actually clean), so I’m generally not surprised by bureaucratic nonsense.

But even I’m shocked the federal government gave an affordability award for a light bulb that costs $50. I’m not making this up. Here’s a blurb from ABC News.

The U.S. government has awarded appliance-maker Philips $10 million for devising an “affordable” alternative to today’s standard 60-watt incandescent bulb. That standard bulb sells for around $1. The Philips alternative sells for $50. Of course, the award-winner is no ordinary bulb. It uses only one-sixth the energy of an incandescent. And it lasts 30,000 hours–about 30 times as long. In fact, if you don’t drop it, it may last 10 years or more. But only the U.S. Government (in this case, the Department of Energy) could view a $50 bulb as cheap.

Isn’t that wonderful? My tax dollars were used to reward a company that produced a light bulb I can’t afford.

Lisa Benson has a very good cartoon about this light bulb, as well as the less-than-shocking news that Obamacare will be more costly than originally forecast.

If you like Lisa’s work, there are some other good examples here and here.

Obamacare, Two Years Later

by Michael D. Tanner

Michael Tanner is a senior fellow at the Cato Institute and author of Leviathan on the Right: How Big-Government Conservatism Brought Down the Republican Revolution.

Added to cato.org on March 21, 2012

This article appeared in National Review Online on March 21, 2012.

This week marks two years since of the passage of the Patient Protection and Affordable Care Act, and if the Obama administration has chosen to all but ignore the second anniversary of Obamacare, the rest of us should pause and reflect on just what a monumental failure of policy the health-care-reform law has been.

What’s more, it has been a failure on its own terms. After all, when health-care reform was passed, we were promised that it would do three things: 1) provide health-insurance coverage for all Americans; 2) reduce insurance costs for individuals, businesses, and government; and 3) increase the quality of health care and the value received for each dollar of health-care spending. At the same time, the president and the law’s supporters in Congress promised that the legislation would not increase the federal-budget deficit or unduly burden the economy. And it would do all these things while letting those of us who were happy with our current health insurance keep it unchanged. Two years in, we can see that none of these things is true.

Obamacare is a costly and dangerous failure.

For example, we now know that, contrary to claims made when the bill passed, the law will not come close to achieving universal coverage. In fact, as time goes by, it looks as if the bill will cover fewer and fewer people than advertised. According to a report from the Congressional Budget Office released last week, Obamacare will leave 27 million Americans uninsured by 2022. This represents an increase of 2–4 million uninsured over previous reports. Moreover, it should be noted that, of the 23 million Americans who will gain coverage under Obamacare, 17 million will not be covered by real insurance, but will simply be dumped into the Medicaid system, with all its problems of access and quality. Thus, only about 20 million Americans will receive actual insurance coverage under Obamacare. That’s certainly an improvement over the status quo, but it’s also a far cry from universal coverage — and not much bang for the buck, given Obamacare’s ever-rising cost.

At the same time, the legislation is a major failure when it comes to controlling costs. While we were once told that health-care reform would “bend the cost curve down,” we now know that Obamacare will actually increase U.S. health-care spending. This should come as no surprise: If you are going to provide more benefits to more people, it is going to cost you more money. The law contained few efforts to actually contain health-care costs, and the CBO now reports that many of the programs it did contain, such as disease management and care coordination, will not actually reduce costs. As the CBO noted, “in nearly every program involving disease management and care coordination, spending was either unchanged or increased relative to the spending that would have occurred in the absence of the program, when the fees paid to the participating organization were considered.”

This failure to control costs means that the law will add significantly to the already-crushing burden of government spending, taxes, and debt. According to the CBO, Obamacare will cost $1.76 trillion by 2022. To be fair, some media outlets misreported this new estimate as a doubling of the law’s originally estimated cost of $940 billion. In reality, most of the increased cost estimate is the result, not of increased programmatic costs, but of an extra two years of implementation. Still, many observers warned at the time that the original $940 million estimate was misleading because it included only six years of actual expenditures, with the ten-year budget window. The new estimate is, therefore, a more accurate measure of how expensive this law will be. Yet even this estimate covers only eight years of implementation. And it leaves out more than $115 billion in important implementation costs, as well as costs of the so-called doc fix. It also double-counts Social Security taxes and Medicare savings. Some studies suggest a better estimate of Obamacare’s real ten-year cost could run as high as $2.7–3 trillion. And this does not even include the over $4.3 trillion in costs shifted to businesses, individuals, and state governments.

All this spending means that we will pay much more in debt and taxes. But we will also pay more in insurance premiums. Once upon a time, the president promised us that health-care reform would lower our insurance premiums by $2,500 per year. That claim has long since been abandoned. Insurance premiums are continuing to rise at record rates. And, while there are many factors driving premiums up, Obamacare itself is one of them. According to the Kaiser Family Foundation, insurance premiums had been rising at roughly 5 percent per year pre-Obamacare. That jumped to 9 percent last year. And roughly half that four-percentage-point increase can be directly attributed to Obamacare. Even Jonathan Gruber of MIT, one of the architects of both Obamacare and Romneycare, now admits that many individuals will end up paying more for insurance than they would have without the reform — even after taking into account government subsidies — and that those increases will be substantial. According to Gruber, “after the application of tax subsidies, 59 percent of the individual market will experience an average premium increase of 31 percent.”

Finally, if the past two years should have taught us anything, it is that we may not be able to keep our current insurance, even if we are happy with it. The CBO suggests that as many as 20 million workers could lose their employer-provided health insurance as a result of Obamacare. Instead, they will be dumped into government-run insurance exchanges. And, the recent dust-up over insurance coverage for contraceptives is a clear illustration of how the government will now be designing insurance plans for all of us. Regardless of how one feels about the contraceptive mandate itself, it is just the tip of the iceberg as government mandates tell employers what insurance they must provide, and tell us what insurance we must buy, even if that insurance is more expensive, contains benefits we don’t want, or violates our consciences.

Next week, Obamacare will slouch its way to the Supreme Court. How the justices decide will be based on questions of constitutional law. Their decision will set a crucial precedent in setting the boundaries between government power and individual rights. But regardless of whether the Court upholds Obamacare or strikes it down, in whole or in part, we should understand that, simply as a matter of health-care reform, Obamacare is a costly and dangerous failure.

____________

Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.

Sincerely,

Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com

Michael Cannon on Medicare and Healthcare

__________

The White House, Washington
 

 

June 15, 2012

Dear Everette:

Thank you for writing.  I have heard from many Americans regarding our health care system and the Affordable Care Act, and I appreciate your perspective.

The Affordable Care Act gives hard-working, middle-class families the security they deserve with more control over their health care than ever before.  Today, over 2 years after we passed this historic legislation, more young adults have insurance, more seniors are saving money on their prescription drugs, and more Americans can rest easy knowing they will not be dropped from their insurance plans if they get sick.  This legislation forces insurance companies to play by the rules, offers increased consumer protection and choice, keeps our promises to seniors on Medicare, strengthens small businesses, and cuts the deficit to help secure a brighter future for our children and grandchildren.

The law has already made a difference for millions of Americans.  Because of the Affordable Care Act, 2.5 million more young people up to age 26 now have health insurance because they can stay on their parents’ insurance policies.  And 54 million additional Americans now receive recommended preventive services like wellness visits, cancer screenings, and other crucial care without co-pays or deductibles.

These reforms strengthen Medicare by not only preserving but also expanding benefits for Americans who depend on Medicare every day.  In 2010 and 2011, over 5.1 million seniors and people with disabilities on Medicare saved over $3.2 billion on prescription drugs thanks to the law.  These savings include a one-time $250 rebate check to eligible seniors who fell into the prescription drug coverage gap known as the “donut hole” in 2010.  And more than 32 million seniors have already received one or more free preventive services, including the new Annual Wellness Visit.  To learn about help available through the Center for Medicare and Medicaid Services, visit www.CMS.gov.

The Affordable Care Act also ends some of the worst abuses of the health insurance industry, and it will continue to hold insurance companies accountable in the future.  Insurance companies can no longer deny coverage to more than 17.6 million children with pre-existing conditions, including everything from asthma to high blood pressure to cancer.  In 2014, insurance companies will be banned from denying coverage to anyone because of pre-existing conditions.  To protect Americans now, the Affordable Care Act includes the temporary Pre-Existing Condition Insurance Plan, which has helped more than 50,000 uninsured Americans with a pre-existing condition gain affordable coverage.  Insurance companies can no longer place lifetime or restrictive annual limits on the amount of care patients receive—helping 105 million Americans who no longer have a lifetime dollar limit on their insurance policies.

Because of the new 80/20 rule, insurance companies must spend at least 80 percent of your premium dollars on your health care or improvements to care rather than excessive marketing costs or CEO bonuses.  If they fail to do so, they are required to provide a rebate to their customers.  And, for the first time ever, insurance companies must publicly justify rate increases of 10 percent or more.

To help America’s small businesses, who have long paid a higher price for health insurance—often 18 percent more than larger employers—the Affordable Care Act provides tax credits for small businesses to help pay for their employees’ health insurance.  An estimated 2 million workers get their insurance from the 360,000 small employers that will receive the credit for 2011.  In 2014, small business owners will get more relief with tax credits and affordable insurance choices in the new Affordable Insurance Exchanges in every state.  For the first time, they will have a marketplace where they can see and compare their health plan options in one place, and insurers will have to actively compete for their business.

Thanks to the new health care law, American workers and families can feel more secure knowing that neither illness nor accident will endanger their pursuit of the American dream.  To learn more about the content of this legislation and how it affects you, visit www.HealthCare.gov or www.WhiteHouse.gov/HealthReform.  For more information on resources that may be available to you, please visit www.HealthFinder.gov/FindServices.

Thank you, again, for writing.

Sincerely,

Barack Obama

Visit WhiteHouse.gov

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Congressman Rick Crawford State of the Union Response 2012 Uploaded by RepRickCrawford on Jan 24, 2012 Rep. Rick Crawford responds to the State of the Union address January 24, 2012 __________ President Obama c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500 Dear Mr. President, I know that you receive 20,000 letters a day […]

Open letter to President Obama (Part 82)

Sen Obama in 2006 Against Raising Debt Ceiling Uploaded by RepCliffStearns on Jun 20, 2011 Rep. Stearns on the House Floor cites Sen. Obama’s opposition in 2006 to increasing the debt ceiling, 6-14-11 ________________________ President Obama c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500 Dear Mr. President, I know that you receive […]

Open letter to President Obama (Part 81)

President Obama c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500 Dear Mr. President, I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.  Here is […]

Open letter to President Obama (Part 80)

President Obama c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500 Dear Mr. President, I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here. It seems […]

 

Open letter to President Obama (Part 94)

President Obama c/o The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

Dear Mr. President,

I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.

In your earlier debate with Hillary Clinton during the 2008 primary you answered the question concerning the drop in the capital tax by Bill Clinton and the resulting increase in revenues by saying that you would still would raise the capital gains tax on the 100,000 million Americans that owned stock because of the issue of fairness. That is counterproductive.

The corporate tax in the USA is almost double the world average and it should be reduced. In fact, Canada reduced theirs dramatically and still brought in about the same revenue. Take a look at this fine article below from the Cato Institute:

Canada’s Corporate Tax Cuts

by Chris Edwards

Chris Edwards is the director of tax policy studies at the Cato Institute and the editor of Downsizing Government.org.

Added to cato.org on March 13, 2012

This article appeared in Daily Caller on March 13, 2012.

The President Obama and most members of Congress agree that the U.S. corporate tax rate should be cut. Thankfully, it is finally sinking in that having a 40 percent corporate tax rate when the world average is just 23 percent is suicide in a globalized economy.

The sticking point on slashing the corporate tax rate has been the fear that the federal government might lose revenues under such a reform. To prevent an expected revenue loss, policymakers have searched for tax loopholes to close in order to “pay for” a corporate rate cut. The problem is that members never find any loophole closings that they can agree on.

I’ve concluded that the effort to close corporate loopholes is a big waste of time. It is simply blocking desperately needed reforms to the tax rate. If I was drafting a corporate tax reform bill, I’d match a tax rate cut with federal spending cuts, but that idea hasn’t caught on either.

Chris Edwards is the director of tax policy studies at the Cato Institute and the editor of Downsizing Government.org.

 

More by Chris Edwards

The good news is that a corporate tax rate cut without any changes to the tax base probably wouldn’t lose the government any money over the long term. Good evidence comes from Canada’s corporate tax cuts of the 1980s and 2000s.

The chart shows Canada’s federal corporate tax revenues as a share of gross domestic product (GDP) and the federal corporate tax rate. The tax rate plunged from 38 percent in 1980 to just 15 percent by 2012. Amazingly, there has been no obvious drop in tax revenues over the period.

Canadian corporate tax revenues have fluctuated, but the changes are correlated with economic growth, not the tax rate. In the late 1980s, a tax rate cut was followed by three years of stable revenues. In the early 1990s, a plunge in revenues was caused by a recession, and then in the late 1990s revenues soared as the economy grew.

In 2000, Canadian policymakers enacted another round of corporate tax rate cuts, which were phased in gradually. Corporate tax revenues initially dipped, but then they rebounded strongly in the late 2000s.

The rate cuts enacted in 2000 were projected to cause substantial revenue losses to the Canadian government. That projection indicates that the reform didn’t have much in the way of legislated loophole closing. But the chart shows that the positive taxpayer response to the rate cut was apparently so large that the government did not lose much, if any, revenue at all.

In 2009, Canada was dragged into a recession by the elephant economy next door, and that knocked the wind out of corporate tax revenues. However, it is remarkable that even with a recession and a tax rate under 20 percent, tax revenues as a share of GDP have been roughly as high in recent years as they were during the 1980s, when there was a much higher rate. Jason Clemens of the Macdonald-Laurier Institute notes that Canadian corporate tax revenues have been correlated with corporate profits, not the tax rate.

If a corporate tax rate is high, there is a “Laffer effect” when the rate is cut, meaning that the tax base expands so much that the government doesn’t lose any money. Estimates from Jack Mintz and other tax experts show that cutting corporate tax rates when they are above about 25 percent won’t lose governments any revenues over the long run.

The overall Canadian rate this year is about 27 percent when the average provincial rate is included. By contrast, the average federal-state rate in the United States is 40 percent, which is roughly 15 points above the revenue-maximizing rate. That means that Congress can proceed with a corporate rate cut and everyone would win — taxpayers, the economy and even the government.

Corporate tax reform with loophole closing is a wild-goose chase. Congress never seems to agree on which loopholes to close, with the result that our economy continues to suffer under a super-high rate. If we matched Canada by cutting our federal corporate rate from 35 percent to 15 percent, it would generate a large increase in reported income as corporate investment boomed and tax avoidance fell. The tax base would automatically expand without Congress even legislating reductions to deductions, credits or other loopholes.

In 2012, Canada will collect about 1.9 percent of GDP in federal corporate income tax revenues with a 15 percent tax rate. The United States will collect about 1.6 percent of GDP with a 35 percent tax rate. Do we need any more evidence that our high corporate tax rate makes no sense?

____________

Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.

Sincerely,

Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com

Open letter to President Obama (Part 93)

President Obama c/o The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

Dear Mr. President,

I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.

I wondered why you were claiming that you were not increasing regulations as much as Bush did. However, the real truth coming out  in this article below because the regulations you did create were more costly and caused more problems for businesses:

Alison Meyer

March 18, 2012 at 2:40 pm

President Obama famously declared in this year’s State of the Union: “I’ve approved fewer regulations in the first three years of my presidency than my Republican predecessor did in his.” Heritage’s James Gattuso and Diane Katz have run the numbers. And Obama shouldn’t be bragging.

Obama’s comparison encompassed all regulations, including federal rules for such things as Medicare rates, migratory birds and fireworks safety. And on that point, he was telling the truth.

This week’s chart tests Obama’s claim by looking at the number of major regulations imposed by each administration. Major regulations, as defined by the government, are regulations that cost up to $100 million or more each year.

In his first three years of presidency, President George W. Bush imposed 28 major regulations at a cost of $8.1 billion. Obama imposed 106 major regulations at a cost of $46 billion.

“This is almost four times the number—and more than five times the cost—of the major regulations issued by George W. Bush during his first three years,” according to the report.

Gattuso and Katz’s report, Red Tape Rising, documents how the Obama administration has greatly increased government regulations.

A few notable findings from the report:

  • A majority of the major regulations came as a consequence of the Dodd-Frank financial regulation law, Obamacare and the EPA’s global warming crusade.
  • The report used information given by the agencies that have no incentive to report accurately, so the costs estimated are understated, giving agencies the benefit of the doubt.
  • More regulations are looming. Obamacare is imposing rules faster than the regulators can write them.

In order to help the economy and put a stop to regulations, Katz and Gattuso suggest three prongs of strong oversight: approval of new major regulations by Congress, a congressional Office of Regulatory Analysis, and sunset dates for existing regulations.

Katz spoke about the report at The Bloggers Briefing, which is available on Livestream and BlogTalkRadio.

__________

Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.

Sincerely,

Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com

Open letter to President Obama (Part 92)

Government Spending Doesn’t Create Jobs

Uploaded by on Sep 7, 2011

Share this on Facebook: http://on.fb.me/qnjkn9 Tweet it: http://tiny.cc/o9v9t

In the debate of job creation and how best to pursue it as a policy goal, one point is forgotten: Government doesn’t create jobs. Government only diverts resources from one use to another, which doesn’t create new employment.

Video produced by Caleb Brown and Austin Bragg.

___________________________

President Obama c/o The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

Dear Mr. President,

I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.

I don’t understand why people think that big government is the answer for everything when what the federal government should do is get out of the way. Cutting taxes and regulations would help us get out of the recession!!

Obama Has Tried All the Wrong Policies

by Daniel J. Mitchell (Also carried on his blog.)

Daniel J. Mitchell is a top expert on tax reform and supply-side tax policy at the Cato Institute.

Added to cato.org on March 13, 2012

This article appeared in U.S. News & World Report on March 13, 2012

The Minneapolis Federal Reserve Bank has a very useful interactive website that allows anybody to compare recessions and recoveries during the post-World War II era. It takes only a couple of clicks to complete the exercise, and does not reflect well on the current occupant of the White House—as you can see at this link.

This does not mean that Obama caused the economic downturn. That was the result of policies that were implemented during the Bush years (though the current president was a big supporter of the Fannie Mae and Freddie Mac subsidies that played such a big role in the financial crisis). Indeed, the recession officially began in December 2007, more than one year before Obama’s inauguration.

Taking money out of the economy’s productive sector and letting politicians engage in a spending spree is the opposite of prudent policy.

But we can hold the president at least partially responsible for an extraordinarily weak and slow recovery. It’s been nearly three years since the recession officially ended in June 2009, yet jobs are still well below their pre-recession levels. And overall economic output, or gross domestic product, has just now finally gotten back to where it was when the downturn began.

This is an anemic record. Especially since an economy normally enjoys a strong bounce when coming out of a deep recession.

Daniel J. Mitchell is a top expert on tax reform and supply-side tax policy at the Cato Institute.

 

More by Daniel J. Mitchell

The problem is that Obama has tried all the wrong policies. He tried a big-spending Keynesian package that was supposed to be a “stimulus,” butthat’s the same failed approach that Bush tried in 2008, the same failed approach that Japan tried in the 1990s, and the same failed approach that Hoover and Roosevelt tried in the 1930s. Taking money out of the economy’s productive sector and letting politicians engage in a spending spree is the opposite of prudent policy.

The president also has continuously expanded subsidies for unemployment, even though academic scholars (and even left-wing economists) all agree that such policies cause more joblessness.

And now he’s demanding higher tax rates, holding a Sword of Damocles over entrepreneurs, investors, and small business owners.

The nation recently endured eight years of a big-spending interventionist in the White House. The problem with Obama is that he promised hope and change, but he’s continuing the failed statist policies of his predecessor.

Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.

Sincerely,

Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com

Open letter to President Obama (Part 91)

Government Spending Doesn’t Create Jobs

Uploaded by on Sep 7, 2011

Share this on Facebook: http://on.fb.me/qnjkn9 Tweet it: http://tiny.cc/o9v9t

In the debate of job creation and how best to pursue it as a policy goal, one point is forgotten: Government doesn’t create jobs. Government only diverts resources from one use to another, which doesn’t create new employment.

Video produced by Caleb Brown and Austin Bragg.

___________________________

President Obama c/o The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

Dear Mr. President,

I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.

I have a son named Wilson Daniel Hatcher and he is named after two of the most respected men I have ever read about : Daniel from the Old Testament and Ronald Wilson Reagan.

One of the thrills of my life was getting to hear President Reagan speak in the beginning of November of 1984 at the State House Convention Center in Little Rock.  Immediately after that program I was standing outside on Markham with my girlfriend Jill Sawyer (now wife of 25 years) and we were alone on a corner and the President was driven by and he waved at us and we waved back.

My former pastor from Memphis, Adrian Rogers, got the opportunity to visit with President Ronald Reagan on several occasions and my St Senator Jeremy Hutchinson got to meet him too. I am very jealous.

Today we are going to compare Reagan’s record to that of Obama:

On this day last year, I posted two charts that I developed using the Minneapolis Federal Reserve Bank’s interactive website.

Those two charts showed that the current recovery was very weak compared to the boom of the early 1980s.

But perhaps that was an unfair comparison. Maybe the Reagan recovery started strong and then hit a wall. Or maybe the Obama recovery was the economic equivalent of a late bloomer.

So let’s look at the same charts, but add an extra year of data. Does it make a difference?

Meh…not so much.

Let’s start with the GDP data. The comparison is striking. Under Reagan’s policies, the economy skyrocketed.  Heck, the chart prepared by the Minneapolis Fed doesn’t even go high enough to show how well the economy performed during the 1980s.

Under Obama’s policies, by contrast, we’ve just barely gotten back to where we were when the recession began. Unlike past recessions, we haven’t enjoyed a strong bounce. And this means we haven’t recovered the output that was lost during the downturn.

This is a damning indictment of Obamanomics

Indeed, I made this point several months ago when analyzing some work by Nobel laureate Robert Lucas. And it’s been highlighted more recently by James Pethokoukis of the American Enterprise Institute and the news pages of the Wall Street Journal.

Unfortunately, the jobs chart is probably even more discouraging. As you can see, employment is still far below where it started.

This is in stark contrast to the jobs boom during the Reagan years.

So what does this mean? How do we measure the human cost of the foregone growth and jobs that haven’t been created?

Writing in today’s Wall Street Journal, former Senator Phil Gramm and budgetary expert Mike Solon compare the current recovery to the post-war average as well as to what happened under Reagan.

If in this “recovery” our economy had grown and generated jobs at the average rate achieved following the 10 previous postwar recessions, GDP per person would be $4,528 higher and 13.7 million more Americans would be working today. …President Ronald Reagan’s policies ignited a recovery so powerful that if it were being repeated today, real per capita GDP would be $5,694 higher than it is now—an extra $22,776 for a family of four. Some 16.9 million more Americans would have jobs.

By the way, the Gramm-Solon column also addresses the argument that this recovery is anemic because the downturn was caused by a financial crisis. That’s certainly a reasonable argument, but they point out that Reagan had to deal with the damage caused by high inflation, which certainly wreaked havoc with parts of the financial system. They also compare today’s weak recovery to the boom that followed the financial crisis of 1907.

But I want to make a different point. As I’ve written before, Obama is not responsible for the current downturn. Yes, he was a Senator and he was part of the bipartisan consensus for easy money, Fannie/Freddie subsidies, bailout-fueled moral hazard, and a playing field tilted in favor of debt, but his share of the blame wouldn’t even merit an asterisk.

My problem with Obama is that he hasn’t fixed any of the problems. Instead, he has kept in place all of the bad policies – and in some cases made them worse. Indeed, I challenge anyone to identify a meaningful difference between the economic policy of Obama and the economic policy of Bush.

  • Bush increased government spending. Obama has been increasing government spending.
  • Bush adopted Keynesian “stimulus” policies. Obama adopted Keynesian “stimulus” policies.
  • Bush bailed out politically connected companies. Obama has been bailing out politically connected companies.
  • Bush supported the Fed’s easy-money policy. Obama has been supporting the Fed’s easy-money policy.
  • Bush created a new healthcare entitlement. Obama created a new healthcare entitlement.
  • Bush imposed costly new regulations on the financial sector. Obama imposed costly new regulations on the financial sector.

I could continue, but you probably get the  point. On economic issues, the only real difference is that Bush cut taxes and Obama is in favor of higher taxes. Though even that difference is somewhat overblown since Obama’s tax policies – up to this point – haven’t had a big impact on the overall tax burden (though that could change if his plans for higher tax rates ever go into effect).

This is why I always tell people not to pay attention to party labels. Bigger government doesn’t work, regardless of whether a politician is a Republican or Democrat. The problem isn’t Obamanomics, it’s Bushobamanomics. But since that’s a bit awkward, let’s just call it statism.

__________

Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.

Sincerely,

Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com

Open letter to President Obama (Part 90)

Congressman Rick Crawford State of the Union Response 2012

Uploaded by on Jan 24, 2012

Rep. Rick Crawford responds to the State of the Union address January 24, 2012

______________

President Obama c/o The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

Dear Mr. President,

I know that you receive 20,000 letters a day and that you actually read 10 of them every day. I really do respect you for trying to get a pulse on what is going on out here.

I think that it would be great if President Obama slowed the pace of new regulations in comparison to President Bush, but I am afraid that the increase of regulations under President Obama has been much more costly than it was under Bush.

Mon, 2012-03-12 16:39

Some 10,215 new federal regulations from the Obama administration are costing consumers, businesses and the economy overall $46 billion annually, more than five times the regulatory price tag of former President Bush in his first three years in office. Worse: just implementing those regulations had a one-time additional cost of $11 billion, according to a Heritage Foundation analysis provided to Washington Secrets.

Ironically, Bush instituted more regulations, 10,674, but they cost just $8.1 billion annually, said the Heritage report, titled “Red Tape Rising: Obama and Regulation at the Three Year Mark.”It will be released Tuesday.

The analysis backs up complaints from the U.S. Chamber of Commerce and other business groups that the president’s regulations are stalling the economy and employment growth. It also calls into question Obama’s promise to put the brakes on new regulations and his State of the Union bragging about issuing less red tape than Bush.

The fact is, said Heritage’s review, hundreds more costly regulations are coming, especially those targeting energy companies and Wall Street. They threaten “to further weaken an anemic economy and job creation,” said Heritage’s James Gattuso and Diane Katz.

While there is no central agency that collects regulation information, Katz and Gattuso mined the Federal Register and other government databases to get their numbers. What they found was that while Obama has bragging rights to claiming he’s put into place fewer regulations than Bush, his cost far more.

The $46 billion price tag calculated by Heritage is staggering, as are those hitting the economy the hardest. Just consider the regulations tagged as “major” for costing $100 million or more. Obama’s team issued 106 on private industry since taking office, compared to 28 by Bush. Last year alone, Obama’s administration issued 32 major regulations impacting everything from clothes dryers, to toy labels.

Heritage said that most expensive regulation of 2011 was from the Environmental Protection Agency, which added five major rules costing $4 billion. Among them, stricter limits on industrial and commercial boilers and incinerators, for a cost of $2.6 billion annually for compliance.

The regulations are also hitting workers through higher fees on items such as checking accounts.

“The president cannot have it both ways: having identified over-regulation as a problem, he must take real and significant steps to rein it in. At the same time, Congress–which shares much of the blame for excessive regulation–must establish critical mechanism to ensure that unnecessary and excessively costly regulations are not imposed on the U.S,. economy and Americans,” said Gattuso and Katz. “Without decisive steps, the costs of red tape will continue to grow, and the economy, and average Americans, will be the victims.”

__________

Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.

Sincerely,

Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com

Responding to Arkansas Times bloggers about Obamacare and abortion

On June 20, 2012 on the Arkansas Times Blog I asserted:

Rude Rob Boston of Americans United favored President Obama speaking at Notre Dame but it turned out that after President Obama got the honorary degree he went out and now is going to force the catholic institutions to provide free abortions under Obamacare. (By the way we have seen rudeness from Rob Boston before and he spread misinformation too before.)

William D. Lindsay responded, “Care to provide any substantiation for that bald-faced lie?”

I responded with these posts:

Infamous Andy asked, “@Saline: So you think that, because ND gave an honorary degree, President Obama should have deferred to the wishes of the Catholic church? Is that what you’re suggesting.”

The answer is no. Actually Rob Boston argued that the catholics should have no problem with President Obama speaking at their university and I made the point in my post that the catholics should have barred Obama from coming because of his position on abortion and it turns out later that I was right…On 2-29-12 the Heritage Foundation noted:
Senator Roy Blunt (R-Missouri) has fought for religious liberty against the Obamacare assault. He plans to offer this week Senate Amendment No. 1520 to S. 1813, the highway authorization bill, to protect the right to religious liberty against the Obamacare mandate. The Blunt Amendment notes that, until the enactment of the Obamacare statute in 2010, “the Federal Government has not sought to impose specific coverage or care requirements that infringe on the rights of conscience . . . .” The Blunt Amendment would override the Obamacare mandate that religious institutions provide coverage for abortion-inducing drugs, contraceptives, and sterilization when it is contrary to their faiths, allowing them to keep their faiths and provide health care coverage for their employees….William D. Lindsey asserted:@Saline: “If someone wants abortion inducing drugs and they work for a religious organization then they will be able to get them under obamacare.”

Sorry, but that’s not true.
_______

If you are correct then why are the catholic institutions all up in arms?
_________

Finally I posted this:

Take a look at this video from the Heritage Foundation called “Religious Liberty: Obamacare’s First Casualty.” It lays out all the facts:

Religious Liberty: Obamacare’s First Casualty

Uploaded by on Feb 22, 2012

http://blog.heritage.org/2012/02/22/morning-bell-religious-liberty-under-attack/ | The controversy over the Obama Administration’s anti-conscience mandate and the fight for religious liberty only serves to highlight the inherent flaws in Obamacare. This conflict is a natural result of the centralization laid out under Obamacare and will only continue until the law is repealed in full.

__________