An Absurd Leap for Obama-kind

The Obama campaign has sent surrogates on many shows, and repeatedly stated what can only be considered an outright lie.  They have stated that Mitt Romney, if he becomes president, will raise taxes on middle class families by $2,000 per year.  This has gone almost completely unchallenged by any media outlet, which is almost worse than the allegation.  The morsel of background to this conclusion is an analysis done by “The Tax Policy Center”.  Their paper released in the past few weeks has decided how a President Romney will react to a possible budget shortfall without a whisper of evidence affecting their conclusion.

Mr. Romney has proposed across the board tax cuts of 20% plus closing loopholes and deductions.  These cuts combined with growth rates similar to when tax cuts have been made in the past will allow his plan to be revenue neutral.  A think tank with questionable politics (The Tax Policy Center) has done an analysis of the tax plan, and put out a paper with its results.  They do not believe there will be any effect on growth by cutting marginal tax rates.  The increased growth following the Kennedy, Reagan, or George W. Bush tax cuts seems to have no bearing on their study, which is why their politics should be suspect.  They could have determined that Romney’s numbers don’t add up in their judgment, and the country could have engaged in a debate about what helps an economy grow.

The paper goes much further than the benign prediction that we have a candidate who has a rosy outlook on the economic results of his proposal.  They have decided that when the plan misses one of its goals of revenue neutrality, Mr. Romney will undermine the principle growth component of his plan by raising taxes on the middle class.  There is, of course, no indication from the Romney campaign that this is what he will do if confronted with a revenue shortfall.  There is no time in the past when Mr. Romney as Governor made such a choice to raise taxes like this.  This lack of evidence, and therefore flawed analysis, has not stopped the Obama campaign from running with this conclusion.  Turn on any television or radio and you will hear some Obama operative, or the President himself saying that his opponent will raise taxes by $2,000 on the middle class.  There are ads running right now claiming this non-fact.

Since there seems to be no challenge to this erroneous claim, the Romney campaign may have to engage under the bizarre reasoning that takes analysis where it never has gone before.  Democratic leaders suggested that the best way to grow the economy was increasing unemployment benefits, and they regularly complain that President Bush never paid for tax cuts or two wars.  After expanding unemployment benefits early in the President’s term, growth has remained stagnant, and these extra costs have contributed to increased deficits.  Combining these two stated Obama goals, and using the logic that is now at play in this presidential campaign should allow for a similar leap.  The Romney people should create an ad, stating as fact, that the President will raise taxes on the unemployed.

Rather than an analysis that challenges the candidates to backup their plans, or a true debate on what grows an economy, we have supposedly respected institutions literally fabricated a candidate’s position.  The President is more than happy to jump on this fake analysis.  He would otherwise need to discuss his record of failures.  With the absence of media fact checking, the Romney campaign must spend its money refuting the lies.  If analysis of a campaign proposal now includes divining what will be decided for the candidate if circumstances change, Romney needs to get into this game as well.

Author Bio:

Michael has been an editor and contributor at the website www.freemarketsfreepeople.net for over 2 years. He has over 20+ years of diverse business experience, from running complex operations where he managed hundreds of people, to starting and running small businesses such as www.realinterestfund.com. He is blessed, or perhaps cursed, with a logical mind which he uses to analyze government, media, politics, and culture. He believes that his life experiences help him bring a unique perspective to the issues of the day.
  • Drew Page

    Romney has proposed to cut federal income taxes across the board and to eliminate certain tax exemptions.   How does equate to a $2,000. tax increase on “the middle class”.  Obama never defines his terms.  He talks about wanting “the rich” (those making a million dollars or more per year) to pay “their fair share” in taxes.    When that proposal is turned into writing we find that “the rich” he is proposing tax increases for are  those with a family income of $250,000 or more per year.    So when he talks about taxing “millionaires and billionaires a little more” what he really means is those with family incomes of $250,000. or more.    At minimum, that a 400% difference in annual income.   We also come to learn that “fair share” means increasing the top tax rate from 35% to 39%  and increasing capital gains taxes from 15% to 30%.   When you retire and start withdrawing money from your 401k plan, a portion of those withdrawals will be capital gains and will be taxed accordingly.  If you paid $200,000 for your home when you bought it and sold it for $400,000 when you retired, you would owe the IRS 30% of that $200,000 capital gain, or $60,000.  SSounds like a fair share, right?

  • venter

    Obama keeps talking about  Romney ..It becoming booooooooooring!!!!!!!!!!!!!!!!  What are Obama’s  plans for the future economy?  Is it revenues from the sale of birth control?  I guess we will have to wait until HIS convention 

  • Wheels55

    That payroll tax reduction holiday has got to end – like all holidays. The very thing it pays for is going broke. It was a bad idea from the very start. Personally, I like having the extra cash. But overall, a bad idea – it didn’t help the economy.

    • Drew Page

      The government is going broke.  But why?  I suppose you can say it’s because we aren’t paying enough in taxes.  Another reason could be that the government is spending a lot more money than it takes in.   Another reason could be that only 50% of wage earners are actually paying federal income taxes, while the other 50% doesn’t.  Another reason could be that legislators not only don’t read the legislation they vote to approve, they don’t care what it costs.  We have a printing press, right?   But the more currency we print, the more worthless it becomes and the more of it we must pay for commodities like gas and oil, food, gold, etc.   When Social Security was established a Trust(?) Fund was created for its funding, which was to used only to pay for S.S. benefits.    But the government decided to take it and leave IOUs for the rest of us to pay off.   And you want to pay these jerks more taxes? 

  • PVMan1

    Romney has said that he won’t raise taxes…but I’d like to hear that $2,000 claim addressed SPECIFICALLY. 

  • Bturtle2

    Is it possible that Obama is referring to the “Payroll Tax Holiday”?  It was supposed to expire at the end of 2011, and was extended for a year.  If it expires at the end of 2012, middle class families will indeed have increased taxes of about $2,000.  But this has nothing to do with Romney.  But the typical American voter will never be able to figure that our.

  • Wheels

    It has occurred to me that the left engages in false claims not just to confuse voters, but to make all political analysts spend time talking about these lies rather than facts and true issues. The more false statements are discussed, the more they seem like real facts to the average voter. Also, the more Romney / Republican dollars are spent defending against these falsehoods and less time and money spent on the truth.

  • Thomas

    I have it from Harry Reid’s imaginery friend that once reelected Obama will call for a massive tax increase that will allow us to reduce the deficit. To maintain his promise to not raise taxes on the middle class a study has been commissioned to find that single individual who is right smack in the middle of tax policy. He and he alone will be referred to as “Middle class tax payer” and as such will not have his taxes raised. In an effort to promote his constant reference to “fairness” there will be a minimum tax of $1000 on all individuals regardless of income. All additional required revenue will come from those small business owners who “didn’t build it.”

    • Wheels

      Small business owners should be telling Obama that if they didn’t build it, then they don’t owe any taxes on the business. Let whoever built it pay the taxes.

  • sjangers

    Perhaps the Tax Policy Center should be reclassified as a 527 organization.  We know they have ties to the Brookings Institution and the Urban Institute, but it might be interesting to find out who else is behind them.

  • GlenFS

    “You can’t just make things up”  President Obama

    • Wheels

      But Obama can. Another do as I say, not as I do moment for our wonderful finger-pointing President.

  • Walter

    Never let the truth get in the way of a good story says the anti-Romney campers. And most importantly, where is the main stream media in this?