NY Times Has Alarming Report On National Debt But

On the front page of the New York Times today (8/4/2011) I read an article by Binyamin Appelbaum entitled “Spending Cuts Seen as Step, Not as Cure”. For me this proves we need to have a “Public Option” not simply because we Progressives like that politically but for the good of the nation’s economy!

When you read something like this below and it is not from FoxNews but the NY Times then we really have to pay attention:

“The Congressional Budget Office estimates that the federal debt is likely to exceed 100 percent of the nation’s annual economic output by 2021, largely because of the rising cost of Medicare, Medicaid and Social Security.”

If that is the case then we need to not only rescind the Bush Tax Cuts but also the Reagan Tax Cuts and maybe even the Kennedy Tax Cuts. Under President Eisenhower we had a robust economy with a 91% Progressive Income Tax and strong Inheritance Tax.

True many would argue that the rich had a lot of loops holes! But guess what, even with the reduced rates they have now, many still escape taxes. Warren Buffert has dawn the media’s attention to this fact by showing he pays less than his secretaries! (It must be noted that Warren Buffet is saying this to correct the problem.)

 

Some Ideas To Reduce The Deficit

Amazing isn’t that we now have the deficit as the main topic of discussion! I agree but when I read that the NY Times writers are concerned I do take note. Especially when they are quoting the Congressional Budget Office!We cannot eliminate Social Security, Medicare, Medicaid or Universal Health Care. Bernie Sanders below makes this clear.

None the less here are some items we need to look at besides the obvious elimination of the Bush Tax Cuts.

  1. For estates over 1 million dollars have a strong inheritance tax. This is not a “death tax” but a tax to insure that in this land of equal opportunity education and opportunity are available to all. That is the foundation of “American Exceptionalism”. That is why the inheritance tax should be called the “American Exceptionalism Preservation Tax“!
  2. Eliminate the Reagan and Kennedy Tax Cuts.
  3. Eliminate loops holes “except” those that actually foster and reinforce corporate behavior that is to the advantage of society!
  4. Raise the Tariff and bring good paying white collar and blue collar jobs home to America.
  5. Establish a strong Public Option!
  6. Allow the importation of Canadian Drugs to lower prescription drug costs in America. This is one good exception to the tariff.
  7. Allow open bidding to bring down prescription drugs.
  8. Bring the troops home from Iraq and Afghanistan now!
  9. Make it easier for blue collar and white collar employees to unionize. (See below)

The “Job Creators” Are A Failure

A major reason that we don’t have enough revenue coming is the lowered income of Americans! The “Job Creators” in 2008 produced compensation to the effect that 47% of American households earned so little they did not pay federal income tax. Many liberal writers get defensive about this as if these households have something to apologize for.

It must be remembered that the issue is not just blue collar jobs being off shored but white collar jobs as well. This is going to get worse as the years progress in our never ending rush to the bottom.

That is why we need a move to unionize not just blue collar workers but white collar workers as well.  I argued in a prior post that using the term “workers” is so 19th Century! We should use the term “employees” instead. Unions have to be more 21st Century and more INCLUSIVE of white collar professionals.

Many who are college educated do not realize the importance of unions. First in how they make the playing field better for everyone. But also unions need to realize that they need to organize white collar employees also. Also lower level office employees are exploited.  Companies like AIG and the banks have entire departments of full time temps just to avoid paying benefits to clerical workers.

If we as a democratic and free society are to make tough decisions then our decision making processes must be free from corporate influences. We need a Constitutional Amendment to ban corporate funding in our election processes and have public financing of elections.

 

 

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