There are all sorts of reasons not to vote for Mitt Romney. One of the simplest is that Romney's tax plan won't reduce the deficit. So says Erskine Bowles, who co-chaired the deficit reduction commission with Alan Simpson:
This month, Romney said that his tax reform proposal is "very similar to the Simpson-Bowles plan." How I wish it were. I will be the first to cheer if Romney decides to embrace our plan. Unfortunately, the numbers say otherwise: His reform plan leaves too many tax breaks in place and, as a result, does nothing to reduce the debt.
...although I give Romney credit for pledging to reform the tax code to reduce loopholes, his current proposal will not take us to the promised land. Our commission's tax plan broadens the base, simplifies the code, reduces tax expenditures and generates $1 trillion for deficit reduction while making the tax code more progressive. The Romney plan, by sticking to revenue-neutrality and leaving in place tax breaks, would raise taxes on the middle class and do nothing to shrink the deficit [Erskine Bowles, "Romney's Tax Plan Won't Cut the Deficit," Washington Post, August 9, 2012].
Romney continues to peddle the immature fantasy that we can pay less in taxes and make our deficit magically disappear. Grown-ups like Bowles and Simpson understand that we've already spent $16 trillion that we don't have on programs that we've already used. Even if we indulged the Republican fantasy of ending Medicare and other government programs, we still have an obligation to pay for what we've already used. Romney's plan doesn't get us to the point where we can pay our debts. Remember, in recent history, the only President to do that was a Democrat.
To be fair the republican congress was a part of that balanced budget too.
But that was when they weren't backing "voodoo economics".
They are back on the "fiscal meth" again, and we should all hope we don't lose our jobs and teeth because of it.
The GOP is all about mythology. Reality is merely a minor interruption of their fantasy.
They need to find someplace in the bible that backs supply side economics, because they certainly aren't going to find any backing in econometric analysis.
"Fiscal meth"—there's a strong metaphor for what Doug rightly calls mythology. As for Biblical backing, we can safely say supply-side economics doesn't have a prayer.
Oooooooo! I have waited and waited for a post like this! Mahalo, spaseeba, gracias!
In my opinion, Mitt Romney's tax plan really does constitute "Robin Hood in Reverse," just as our President said recently.
The most dangerous aspect is the idea of lowering the corporate income tax rate, along with completely getting rid of capital gains and estate taxes, all of which have recently found favor among "conservatives."
Naturally, lowering all those taxes, or getting rid of them, will create a revenue gap that will have to be filled somehow. How? If you want a clue, go back to Paul Ryan's original "deficit reduction" plan, in which he put forth the idea of a "business transaction tax" which would, in effect, operate as a value-added tax (VAT).
The VAT is a well-known way to generate government revenue. Most countries in the world have this type of tax. Recently the Senate voted 85-13 against this type of tax for the United States, calling it a "massive tax increase that would harm the economy and destroy jobs."
In effect, a VAT appears as a sales tax to most people, but a big one, upwards of 10 percent in most countries and approaching 30 percent in some. It strikes at everything, even food and rent and gasoline and utilities. It also strikes at businesses of all sizes, large and small, and creates a huge administrative burden on everyone concerned (except the hapless person on the street, whose burden comprises nothing more than starving or freezing to death).
Reducing the corporate income, estate, and capital gains taxes would benefit people like Mitt Romney, as well as those people who have enriched themselves in recent years by blackmailing or sucking the life out of large corporations, resulting in outsourcing and layoffs. (This very thing is happening right now at the company who publishes my books.)
The VAT is a regressive scourge that will further drive all but the richest among us into dog-food-eating poverty.
If we elect this man (Romney) to the Presidency, we run the risk of a Republican-style version of the VAT coming down the pike. Whatever you call it, poop is poop. You can autoclave it and boil it and spice it up, but poop it remains.
With Romney's unwillingness to come forward with his tax returns, with his refusal to rule out a VAT, with Ryan's record of recommending a VAT (however well disguised) ... with all of this, I am on the verge of voting for Barack Hussein Obama in November 2012.
If we're going to end up with a VAT, let the Democrats enact it. Then they can commit political suicide. Because whichever party enacts this horrific tax will fade into oblivion for years, if not decades, to follow.
Yes, the current tax code needs change. But no, Romney's vision (and the Republican vision in general) is not the right change. It's a cure worse than the disease. It's "Robin Hood in reverse." It's Romneyhood, which will only accelerate our demise to a Dickensian sort of society where the gap between the haves and the have-nots is so great that the two classes (yes, classes) might as well not even live on the same planet.
Indeed, I have grown so motivated as to post a video message to Mitt Romney among the myriad missives from the Nerd Cave. Simply click or tap on my name above, and you should go right to it. Have I gone nuts, or what?
http://www.youtube.com/watch?v=TKnQB4fp3z0&feature=plcp
Glad we agree on something Stan. In fact balancing the budget is an all consuming issue for me on the federal level. Studies have shown that the majority of the wealthiest and highest earners understand our tax rates are unsustainable. That's why I call it fiscal meth. It might not be fun to come down but Romney's tax plan is the equivalent of snorting another line and telling ourselves we can stay high forever when the fact is it is going to hurt a lot more when we come off it in the future.
The day that travesty came out economists across the country were on suicide watch.
Sorry meant "this is why:". Darn phone.
Mitt is going to announce Paul Ryan as his running mate, we are set to hear how much growth cutting taxes is going to generate since we all weren't working hard with the lowest tax burden in history. I guess its a good thing Mitt won't win because he has shone once again he is horrible at making big decisions. Good luck in Florida.
Talk about a couple of empty "haircuts". Of course Ryan was probably picked by the Kochs and Adelstein, maybe Mitt didn't even have a say.
Stan, that's you! Cool! And that's a T-rex on your shirt. There must be a metaphor there! Now you need a shirt (a hoodie?!) that shows Mitt with a little green cap and a bow and arrow: Romney Hood!
VAT: Last week, LK posted a chart showing that the poor spend more of their income on basic necessities than the rich. That's one of the reasons that the VAT stinks, right? Rich folks squirrel away a larger percentage of their money in activities the VAT doesn't touch.
Justin: Paul Ryan for VP? Sure, Mitt, go ahead, nominate Gabe from The Office. We'll have all sorts of fun with that.
Hilarious! I never noticed. It's something about those droopy eyes.
Ryan was voted biggest brown noser by his high school class, and that fits too.
And holy cow—Romney did it!