“The definition of insanity is doing the same thing over and over again and expecting a different result.”...Albert Einstein
<<Obama’s jobs plan follows the contours of his $830 billion 2009 economic stimulus package, which also stressed tax cuts, infrastructure spending and assistance to local governments.>>
I don't want to sound jaded here, but did we not try this already. This is nothing more than a payback to the public sector unions and construction unions, which will in turn help to finance his re-election. This will do nothing to bring down unemployment or create long term jobs, let along help the housing markets.
Obama Said to Seek $300 Billion Jobs Package
President Barack Obama plans to propose sparking job growth by injecting more than $300 billion into the economy next year, mostly through tax cuts, infrastructure spending and direct aid to state and local governments.
Obama will call on Congress to offset the cost of the short-term jobs measures by raising tax revenue in later years. This would be part of a long-term deficit reduction package, including spending and entitlement cuts as well as revenue increases, that he will present next week to the congressional panel charged with finding ways to reduce the nation’s debt.
Almost half the stimulus would come from tax cuts, which include an extension of a two-percentage-point reduction in the payroll tax paid by workers due to expire Dec. 31 and a new decrease in the portion of the tax paid by employers.
The unemployment rate and the sluggish recovery will be central issues as Obama runs for re-election next year. Former Massachusetts Governor Mitt Romney, a leading Republican seeking the party’s nomination to face Obama in November 2012, yesterday offered his own 59-point economic plan, including tax cuts for those making $200,000 or less a year.
Obama has pressed Congress throughout the year to renew the payroll tax holiday along with extended unemployment benefits, which also expire Dec. 31. Backing for a reduction in the employer contribution to the payroll tax has been under consideration since at least June.
Obama’s jobs plan follows the contours of his $830 billion 2009 economic stimulus package, which also stressed tax cuts, infrastructure spending and assistance to local governments. Still, tax cuts would account for a larger portion of the proposal he will lay out this week.
Resistance in House
Much of Obama’s plan may have trouble passing the U.S. House, where leaders of the Republican majority have signaled opposition to new spending that would add to the federal budget deficit. House Speaker John Boehner of Ohio and Majority Leader Eric Cantor of Virginia released a letter to Obama yesterday saying their objections to the 2009 stimulus, which they called a “large, deficit-financed, government spending bill,” have been validated by continued high unemployment.
Obama said in a Sept. 5 speech in Detroit that he would challenge Republicans to support tax cuts, which a person familiar with administration discussions said would be targeted toward middle-class Americans to spur consumer spending.
“You say you’re the party of tax cuts?” Obama said before the annual Metro Detroit Central Labor Council rally. “Well then, prove you’ll fight just as hard for tax cuts for middle- class families as you do for oil companies and the most affluent Americans.”
You may be correct - the fact the House will not pass it is more about Republicans playing politics than the validity of the plan. For instance, the plan entails more spending cuts to go along with the tax cuts, that will in essence pay for the plan. If you believe that labor unions hold the key to possible future elections then you haven't been paying attention to the last decade. I have a son that used to work in construction - there are no jobs and haven't been any jobs for several years now. The company he used to work for went bankrupt. The problem with our high unemployment has to do with private businesses that are not only not hiring but laying off as we speak - to generate higher profits. They say they don't have confidence in the consumer - which is ironic given how well certain retailers have been doing. Their obstinance in providing jobs becomes a self-fulfilling prophecy. No jobs, no money - no consumer. The fantasy spread by Republicans that you can cut your way to prosperity - is simply a fantasy - spread by idiot tea drinkers.
<<The fantasy spread by Republicans that you can cut your way to prosperity - is simply a fantasy>>
One could make the same argument...The fantasy spread by Democrats that you can spend your way to prosperity - is simply a fanasy.
The point I was trying to make is no matter what your political bent, to keep doing the same thing over and over again when it has proven not to work is insane.
Why does the stimulus money always find its way to creating union jobs?
<<Washington: Obama wants to spend $30 billion to hire back laid-off teachers and prevent new layoffs. A lot of schools could use the money. The 2009 stimulus plan sent about $44 billion to states for spending on education, which kept employments levels up for awhile. But since late 2009, budget cuts have forced the loss of about 277,000 local education jobs. Obama says his plan would save the jobs of 280,000 teachers, while "supporting the hiring of tens of thousands more.">>
Sending temporary stimulus money to the states to subsidized bloated bureauracies thay can't afford is not the answer. I live in California and the public sector unions totaly control this state by buying off Sacramento politicians. Here in California you have public sector employess retiring at age 55 collecting 80+% of thier income for the next 30 years...it's economically unsustainable. It is not healthy when you only have a one party system of either party with no checks and balances.