While the possibility of yet another stimulus package stood in the wings, Senior White House Advisor David Axelrod recently discussed his conservative opponents involvement in the attempt to revive the nation our of the current recession as attempts “to block” every effort to repair the issues. Obviously not able to make any examples, yet another statement from the White House has more holes than ever thought possible.
Aside from attempting to restrict the now $862 billion stimulus and its detrimental affects such as a 9.5 percent and rising unemployment rate, there is not one useful piece of legislation placed on the floor which neither would have resulted in an upswing within this recession nor was held back by the Republican minority. In fact, one of the few objectives holding the sinking ship that is our economy up a bit, the Bush tax cuts, have received the same liberal backlash which Axelrod has accused the Republicans of from his side of the aisle.
President Bush signed the Tax Increase Prevention and Reconciliation Act of 2005, extending his 2003 tax cuts on dividends and capital gains. Set to expire at the end of this year, the Tax Policy Center estimates that the tax cuts will bring $366 billion per year into the U.S. Treasury over the next 10 years. Despite this being funding our nation desperately needs, Democrats have already declared trimming it down before allowing it back into law to only allow middle class tax cuts. Last month, Treasury Secretary Timothy Geithner reiterated the Obama administration’s support for extending middle-class breaks for families making less than $250,000 annually, while allowing those for higher earners to lapse. The response from the Republicans was yet another reiteration: Democrats are continuing to ignoring a “ticking tax bomb.”
If not allowed to continue tax decreases that result from the Reconciliation Act, the result will be more issues for the nation to handle. Although this may be surprising for one to realize the Democrats may not see this, we must remember their own version of assisting the nation: The First Stimulus Bill. Joblessness claims, although a large piece, are not the only iceberg digging into the nation as a result of this legislation. Situations state to state have increasingly worsened through a domino effect towards small businesses, individuals and as result families.
Nevertheless, Axelrod once again got his own administration wrong. Instead of making an actual Stimulus Package, he and his leaders created a time bomb which, after exploding, was retorted by accusing the GOP of blocking every other legislation that would have helped our situation. Hence, The Bush Tax Cuts not only need to be extended but also reflected in any other suggested package to stimulate the economy. Despite Axelrod’s claim, there has been no other legislation attempted which has not only been responded to by GOP blocking but has suggested assisting our current economic situation. If anything, the attempts to block what we are now calling the worst “Recovery Summer” to occur, was a positive that only Axelrod and his followers recall as threatening.