Since POTUS is revamping his cabinet positions, it's time to replace an incompetent Tim Geitner with a nobel prize winning economists whose interests are apolitical. Paul Krugman op ed in todays NYT is something the Dem Congress needs to seriously read and memorize. He consistently demonstrates he has a better grasp on how to fix the economy than the politicians do.
This is my favorite part.
And there’s a broader lesson here. This is no time for a Grand Bargain, because the Republican Party, as now constituted, is just not an entity with which the president can make a serious deal. If we’re going to get a grip on our nation’s problems — of which the budget deficit is a minor part — the power of the G.O.P.’s extremists, and their willingness to hold the economy hostage if they don’t get their way, needs to be broken. And somehow I don’t think that’s going to happen in the next few days.Here is my suggestion.
Put the original proposal (NOT THE 2ND PIECE OF GARBAGE) back on the table and take it to a vote in the Senate. If you can pass it in the Senate, the challenge will be getting it to a vote in the House. If you can get Boehner to let the House vote on a passed Senate bill, you might see some Republicans cross over.
I SAID MIGHT!!!!
However, if they didn't pass it, the blame gets placed squarely back onto Boehner and his extremist party. Considering that the public sees them as whacko out of touch extremists anyways Republican Party Too Extreme, Majority Of Americans Say: Poll, their lack of action will have a significant backlash against them.
Besides, I still think that letting everything expire and then starting over will be a much more effective strategy. And apparently Mr Krugman agrees that a bad compromise is worse than no compromise at all.
From a business point of view, there is no incentive to invest as long as I can sit on my money and watch it grow and not pay any taxes on it. It's only when I have to pay taxes on that money do I invest it in something tangible. Perhaps the Dems should start by attacking the lie that people who make over $250K are job creators. They are not. This is another issue that Mr Krugman has consistently written about over the past few years.
Lastly, POTUS Obama apparently doesn't understand bargaining. Instead of going up to 400K annually, he should have gone down to $150K annually so he could raise taxes on the members of the house. I bet that would have gotten their attention.
Perhaps it would be wise to replace Mr. Geitner whose background is trenched deep in corporate economics with someone who understands Economics for everyone. Then perhaps they might have a chance to get a broader public support which could enable them to take back the House of Reps in 2014.